My own guess is that part of it is a dividend withholding tax that is first charged and deducted and then refunded in a RRSP. Otherwise I'm not sure.

A similar phenomena occurred with me on PM in Questrade and the first payment was 71.61 and the second part was 5.39 for a total of 77.00 which is what was expected for 100 shares. On the second payment of 5.39 it was labelled div div (both were actually labelled div div) and had the following description:

PHILIP MORRIS INTERNATIONAL INC CASH DIV ON 100 SHS REC 12/23/11 PAY 01/10/12 TAXABLE DIVIDEND 7% OF .77USD ORIGINAL RECORD DATE 12/22/11

 

My own guess is that part of it is a dividend withholding tax that is first charged and deducted and then refunded in a RRSP. Otherwise I'm not sure.

Doesn't look like it as DIV (smaler part) is just 7%... to be witholding tax it should be 15%

 

Yeah, I know. I don't quite understand the 7% myself as the dividend withholding tax rate would be 15% between Canada and the USA in non-RRSP accounts. But they clearly talk about taxable dividend in the description of the distribution.

 

as I expected PM increased their dividend 6.4% to $1... Started position in 2011 and YOC is already above 7%