As an American citizen, do I pay income taxes on Enbridge dividends to Canada or the U.S.?

Our Answer

Robert asked this question on March 17, 2017.

Hi Robert,

We encourage you to consult your tax advisor for further information as the rules governing foreign tax credits are complex, and involve rules that will depend on a U.S. holder’s particular circumstances.

In general, Canadian withholding taxes are expected to apply to dividends paid to U.S. shareholders. Subject to certain limitations, Canadian tax withheld will be deductible against your U.S. federal income tax liability.