http://www.getmoneyenergy.com/2009/09/list-top-canadian-companies-still-income-trusts/ DRIP Investing for Dividend Growth, Cashflow and Financial Freedom Sat, 13 Mar 2010 22:14:49 -0700 http://wordpress.org/?v=2.8.4 hourly 1 http://www.getmoneyenergy.com/2009/09/list-top-canadian-companies-still-income-trusts/comment-page-1/#comment-3160 MoneyEnergy Thu, 03 Dec 2009 17:19:02 +0000 http://www.getmoneyenergy.com/?p=2429#comment-3160 Hi Gerry, thanks for that clarification. But do they not still need to make the explicit decision as to whether to remain a trust or not? They may not be *forced* to return to corporate structures, but as I understand it this is a decision they will still each consider. Hi Gerry, thanks for that clarification. But do they not still need to make the explicit decision as to whether to remain a trust or not? They may not be *forced* to return to corporate structures, but as I understand it this is a decision they will still each consider.

]]> http://www.getmoneyenergy.com/2009/09/list-top-canadian-companies-still-income-trusts/comment-page-1/#comment-3158 Gerry M Wed, 02 Dec 2009 13:25:25 +0000 http://www.getmoneyenergy.com/?p=2429#comment-3158 Your initial paragraph is not correct. The trusts will not be forced to become corporations again for tax purposes, they can remain trusts. Their distributions as trusts will be taxed with a new distribution tax to put them on equal tax treatment footing with corporations, but they do not need to alter their structure. Splitting hairs? No, because a new tax can be removed. Converting back to a corporation and then having to get shareholder approval again and go to the expense of reconverting back to a trust if the tax ever gets removed is an exercise most trusts would probably want to avoid. Your initial paragraph is not correct. The trusts will not be forced to become corporations again for tax purposes, they can remain trusts. Their distributions as trusts will be taxed with a new distribution tax to put them on equal tax treatment footing with corporations, but they do not need to alter their structure. Splitting hairs? No, because a new tax can be removed. Converting back to a corporation and then having to get shareholder approval again and go to the expense of reconverting back to a trust if the tax ever gets removed is an exercise most trusts would probably want to avoid.

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