CI Investments supports U.S. taxpayer clients

 TSX Symbol: CIX  TORONTO, July 3, 2014 /CNW/ - CI Investments Inc. ("CI") announced today that  starting with the 2014 tax year, it will be providing additional tax  information to assist its U.S. taxpayer clients in completing their U.S. tax  returns.  CI will issue Passive Foreign Investment Company (PFIC) Annual Information  Statements for CI mutual funds held by U.S. taxpayers, which may allow them to  achieve more favourable tax treatment of their CI mutual fund investments.  "CI's goal is to make U.S. tax and information reporting of its funds as  straightforward and cost effective as possible for its clients who are U.S.  persons," said Derek Green, CI President.  The PFIC Annual Information Statement, which CI will supply on request, sets  out the investor's pro-rata share of a fund's ordinary earnings, net capital  gains and other distribution information in accordance with U.S. tax  legislation. This statement allows U.S. taxpayer clients to elect to treat a  CI fund held in an open account as a Qualified Electing Fund (QEF) on their  tax return.  "The QEF election is the most favourable method for a U.S. taxpayer to report  on and calculate income from owning a PFIC in a Canadian non-registered  investment account," Mr. Green said.  Under U.S. tax law, Canadian mutual fund trusts and corporations are  considered PFICs, which are subject to strict rules designed to limit U.S.  taxpayers' ability to defer tax through foreign investments. With the QEF  election, the tax treatment of Canadian mutual fund holdings held in open  accounts will be similar to that of U.S. mutual funds.  Currently, Canadian mutual funds held in registered retirement plans,  including registered retirement savings plans and registered retirement income  funds, are exempt from PFIC reporting requirements. However, other registered  plans, including registered education savings plans, registered disability  savings plans and tax-free savings accounts, are not exempt.  CI recommends that its U.S. taxpayer clients work with their financial advisor  and a cross-border tax advisor to report their PFIC holdings correctly.  About CI Investments - Canada's Investment Company CI Investments is one of Canada's largest investment management companies. It  offers a wide range of investment products and services, including an  industry-leading selection of investment funds, and is on the Web at CI is a subsidiary of CI Financial Corp. (TSX: CIX), an  independent, Canadian-owned wealth management firm with approximately $129  billion in assets as of June 30, 2014.    SOURCE  CI Investments Inc.  Murray Oxby Director, Communications CI Investments (416) 681-3254  To view this news release in HTML formatting, please use the following URL:  CO: CI Financial Corp. ST: Ontario NI: FIN FND FIN FND FLOWS  
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