Gabelli Dividend & Income Trust Continues Monthly Distributions, Declares Distributions of $0.11 Per Share

Rhea-AI Summary

The Gabelli Dividend & Income Trust (NYSE: GDV) announced fixed monthly cash distributions of $0.11 per share for July, August, and September 2021. The record dates are July 16, August 17, and September 16, with payable dates on July 23, August 24, and September 23 respectively. The Board continues to assess strategic opportunities and will monitor distribution levels based on net asset value and market conditions. Any shortfall in earnings could lead to distributions being classified as a return of capital.

Positive

• Monthly cash distribution of $0.11 per share reinforces shareholder income.
• Continuing evaluation of strategic opportunities suggests proactive management.

Negative

• Potential for distributions to be classified as returns of capital if earnings fall short.
• Distributions can vary based on market conditions and fund performance.

The Board of Trustees of The Gabelli Dividend & Income Trust (NYSE:GDV) (the “Fund”) approved the continuation of its policy of paying fixed monthly cash distributions. The Board of Trustees declared cash distributions of $0.11 per share for each of July, August, and September 2021.

Distribution Month		Record Date		Payable Date
July		July 16, 2021		July 23, 2021
August		August 17, 2021		August 24, 2021
September		September 16, 2021		September 23, 2021

Additionally, the Board of Trustees continues to evaluate potential strategic opportunities for the Fund in what we believe to be an attractive environment to invest in the broader equity markets.

Each quarter, the Board of Trustees reviews the amount of any potential distribution from the income, realized capital gain, or capital available. The Board of Trustees will continue to monitor the Fund’s distribution level, taking into consideration the Fund’s net asset value and the financial market environment. If necessary, the Fund will pay an adjusting distribution in December which includes any additional income and net realized capital gains in excess of the monthly distributions for that year to satisfy the minimum distribution requirements of the Internal Revenue Code for regulated investment companies. The Fund’s distribution policy is subject to modification by the Board of Trustees at any time, and there can be no guarantee that the policy will continue. The distribution rate should not be considered the dividend yield or total return on an investment in the Fund.

All or part of the distribution may be treated as long-term capital gain or qualified dividend income (or a combination of both) for individuals, each subject to the maximum federal income tax rate for long term capital gains, which is currently 20% in taxable accounts for individuals (or less depending on an individual’s tax bracket). In addition, certain U.S. shareholders who are individuals, estates or trusts and whose income exceeds certain thresholds will be required to pay a 3.8% Medicare surcharge on their "net investment income", which includes dividends received from the Fund and capital gains from the sale or other disposition of shares of the Fund.

If the Fund does not generate sufficient earnings (dividends and interest income, less expenses, and realized net capital gain) equal to or in excess of the aggregate distributions paid by the Fund in a given year, then the amount distributed in excess of the Fund’s earnings would be deemed a return of capital. Since this would be considered a return of a portion of a shareholder’s original investment, it is generally not taxable and would be treated as a reduction in the shareholder’s cost basis.

Long-term capital gains, qualified dividend income, investment company taxable income, and return of capital, if any, will be allocated on a pro-rata basis to all distributions to common shareholders for the year. Based on the accounting records of the Fund currently available, each of the distributions paid to common shareholders in 2021 would include approximately 14% from net investment income and 86% from net capital gains on a book basis. This does not represent information for tax reporting purposes. The estimated components of each distribution are updated and provided to shareholders of record in a notice accompanying the distribution and are available on our website (www.gabelli.com). The final determination of the sources of all distributions in 2021 will be made after year end and can vary from the monthly estimates. Shareholders should not draw any conclusions about the Fund’s investment performance from the amount of the current distribution. All individual shareholders with taxable accounts will receive written notification regarding the components and tax treatment for all 2021 distributions in early 2022 via Form 1099-DIV.

Investors should carefully consider the investment objectives, risks, charges, and expenses of the Fund before investing. More information regarding the Fund’s distribution policy and other information about the Fund is available by calling 800-GABELLI (800-422-3554) or visiting www.gabelli.com.

About The Gabelli Dividend & Income Trust

The Gabelli Dividend & Income Trust is a diversified, closed-end management investment company with $2.9 billion in total net assets whose primary investment objective is to provide a high level of total return with an emphasis on dividends and income. The Fund is managed by Gabelli Funds, LLC, a subsidiary of GAMCO Investors, Inc. (NYSE:GBL).

NYSE – GDV
CUSIP – 36242H104

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FAQ

What is the distribution amount for GDV in July, August, and September 2021?

The distribution amount for GDV is $0.11 per share for each month.

When are the record and payable dates for GDV's July 2021 distribution?

The record date is July 16, 2021, and the payable date is July 23, 2021.

Will GDV's distribution amounts remain fixed in the future?

The distribution policy is subject to modification by the Board of Trustees and can change based on market conditions.

What happens if GDV does not generate enough earnings?

If earnings are insufficient, distributions exceeding earnings may be deemed a return of capital.

What percentage of GDV's distributions comes from net investment income?

Approximately 14% of the distributions to common shareholders in 2021 are expected to come from net investment income.