During the Year, the Light Corporation Paid $550,000 in Preferred

During the year, The Light Corporation paid $550,000 in preferred share dividends to ABC Inc. Both companies are Canadian corporations. Which of the following is TRUE?

A) ABC Inc. is subject to Part VI.1 tax.
B) he Light Corporation is subject to Part VI.1 tax.
C) Neither corporation is subject to Part VI.1 tax.
D) Both corporations are subject to Part VI.1 tax.