TORONTO, Dec. 13, 2013 /CNW/ - To help investors in Mackenzie Funds who
file US tax returns, Mackenzie Financial Corporation (Mackenzie
Investments) announced today that it will make available the US tax
information necessary to complete these returns.
For US tax filers, Canadian mutual funds are viewed as passive foreign
investment companies (PFIC), which means they are subject to prescribed
tax rules intended to curb the extent to which US persons can defer tax
in the US through foreign investments.
By providing detailed US ordinary earnings, net capital gains and
distribution information - fully customized for each investor - on the
PFIC annual information statements (AIS) it generates, Mackenzie
Investments is enabling US persons, if they choose, to make an election
to treat each of the Mackenzie Funds as a Qualified Electing Fund (QEF)
for US federal income tax purposes for the tax year 2013 and beyond. To
make it even more convenient for US taxpayer clients and their
advisors, Mackenzie Investments will provide information on a
per-unit/share basis, and the date and amount of distributions per
unit/share, in US dollars.
"PFIC rules affect many US persons, including those who reside in
Canada," said Carol Bezaire, Vice President, Tax and Estate Planning at
Mackenzie Investments. "Making a QEF election may, in certain
circumstances, mitigate the adverse aspects of holding a PFIC
investment. We're making it both easier and more cost-effective for our
US taxpayer clients to complete their US tax filings."
This personalized tax reporting is available on all series of all
Mackenzie Funds. Advisors can request an AIS on behalf of their clients
for each account containing mutual funds upon which they may wish to
make a QEF election.
It is recommended that affected US persons consult with their advisor
and tax professional who understands both Canadian and US tax issues,
to discuss any PFIC-related tax implications.
For more information on this topic, please refer to the Mackenzie
Investments paper entitled Impact of U.S. "PFIC" Rules on Canadian Mutual Funds.
Mackenzie Investments was founded in 1967, and is a leading investment management firm
providing investment advisory and related services. With $65.3 billion
in assets under management as at November 30, 2013, Mackenzie
Investments distributes its investment services through multiple
distribution channels to both retail and institutional investors.
Mackenzie Investments is a member of the IGM Financial Inc. (TSX: IGM)
group of companies. IGM Financial is one of Canada's premier financial
services companies with over $131 billion in total assets under
management as at November 30, 2013. For more information, visit mackenzieinvestments.com.
SOURCE: Mackenzie Investments
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