Tax Center

The Calamos Family of Funds pay out distributions periodically. You should know how much you received in distributions as you prepare your taxes since the IRS classifies distributions as reportable income.

Capital gains are the result of the Funds' sale of securities that have appreciated in price. The investment management team may sell assets that have had price gains when the team believes the securities are no longer appropriately valued. Securities that have appreciated in value may also be sold to maintain an appropriate level of diversification within the portfolio.

Our main focus at Calamos is to position our Funds to pursue the highest long-term total returns with an appropriate amount of risk, based on each Fund's investment objective. We are always tax aware and we attempt to mitigate annual taxable gains in our portfolios when prudent. For individuals, long-term capital gains are taxed at a maximum rate of 20% (or 23.8% including the Medicare tax); while short-term capital gains (gains on shares held for one year or less) are generally taxed at your ordinary income tax rate.

Qualified dividends are generally defined as distributions from domestic corporations and certain qualified foreign corporations. These per share amounts represent the portion of the ordinary income dividend from the fund that may be taxed at capital gain rates rather than the higher marginal rates applicable to ordinary income. A portion of a fund's dividend may not qualify for the lower tax rates if it is derived from non‐qualified sources, such as interest income and short‐term gains. In addition, shareholders may be subject to an additional 3.8% tax on their net investment income.

The amount of your dividend that is eligible for the lower tax rates is reported in Box 1b of your IRS Form 1099‐DIV mailed in January or early February 2024. To be eligible for the lower tax rates, you must have held your shares for at least 61 days during the 121‐day period beginning 60 days before the exdividend date of the fund. The ex‐date is the date on which the dividend is deducted from the fund's per‐share net asset value. Shareholders may not count the day on which the shares were purchased or acquired by reinvesting dividends. The day shares are sold may be counted.

The portion of your 2023 distribution that is a return of capital (ROC) is reported in Box 3 of your IRS Form 1099‐DIV mailed in January or early February 2024. This ROC represents the amount of the 2023 distributions in excess of the fund’s taxable earnings and profits. ROC is a nontaxable distribution and is a reduction in cost basis to the extent of basis in your fund shares.

None of the information on this Web site should be considered legal or tax advice. You should consult your legal or tax advisor for information concerning your own specific tax situation. 

The dividend tables provided here are for informational purposes only and to assist you in your tax planning. When preparing your tax return, please refer to your Form 1099-DIV and consult your legal or tax advisor.