The number of taxfilers reporting investment income, as well as the amount of investment income they reported, both increased for the second year in a row in 2005, Statistics Canada said today.

Just under 7.8 million people reported nearly $34.5 billion of income from investments, according to income tax returns filed in the spring of 2006.

The number of taxfilers reporting investment income was up 3.4% from 2004, while the income was up 8%.

The number of people reporting investment income rose 7.9% in the Yukon, the fastest rate of growth. It was followed closely by Alberta (6.7%) and British Columbia (5.6%).

The proportion of taxfilers reporting investment income remained relatively stable at 33%.

The median investment income reported in 2005 was $460.

Median investment income rose in only one province, Newfoundland and Labrador. It remained relatively stable in six provinces and territories, and fell in Prince Edward Island, Quebec, Saskatchewan, B.C., the Yukon and Nunavut.

Among census metropolitan areas, taxfilers in Victoria reported the highest median investment income at $750. They were followed by taxfilers in Vancouver at $590 and St. Catharines–Niagara and Calgary, both at $500.

Investment income recipients are either investors (those who reported dividend income from taxable Canadian corporations), or savers (those who reported interest income). Investors may have also reported interest income.

About 3.4 million investors reported $27.8 billion of dividend and interest income in 2005. The number of investors rose 7.1%, while the income they reported went up 11.9%.

The number of investors rose in all provinces and territories. The largest increase was in Alberta (9.9%), accompanying a 6.1% increase in taxfilers.

The amount of dividend and interest income received by investors rose in all provinces and territories. Investors in Northwest Territories reported the highest rate of growth (33.1%), followed by investors in Alberta where the value of dividend and interest income rose 22.8%.

On the other hand, the number of savers (4.4 million) was up a slight 0.8% from 2004. This was the first increase since 2001.

The amount of interest income reported in 2005 fell 5.9% to $6.7 billion. However, this drop was not as large as in the previous two years. In addition, it was not nearly as steep as in 2002 when interest income reported fell 25.5%.