The Corporation is a mutual fund corporation as defined in the Income Tax Act (“Canada”) with a September 30th tax year-end. All of the outstanding share classes are aggregated in determining the tax position of the corporation as a whole. Interest and foreign income are taxed at corporate rates subject to permitted deductions for expenses. The taxable portion of net capital gains is subject to tax at corporate rates applicable to mutual fund corporations, but taxes paid thereon are refundable. This tax is refundable by virtue of refunding provisions in tax legislation as redemptions occur or by payment of capital gains dividends to shareholders. It is the intention of the corporation to pay.
