# EXM-F05 — Mutual fund trailing commissions are now taxable. CRA

**Flag: Current** — Verified against the live source. Safe to cite.

**Mutual fund trailing commissions are now taxable.** CRA: most services provided in exchange for trailing commissions no longer meet the definition of a financial service. Enforcement moved from 1 July 2026 to **1 January 2028**. Applies equally to independent advisors, not only dealers. Brokering the issuance of units for a one-time trading fee remains exempt. Earlier enforcement where a dealer already treated the supplies as taxable and claimed ITCs

## Sources

- Notice 344 (primary): https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/notice344/application-gst-hst-to-mutual-fund-trailing-commissions.html

Jurisdiction: FED · Verified 2026-08-27 · Review: legislative