DIVIDEND NOTICE
The Gabelli Equity Income Fund

FOR IMMEDIATE RELEASE
Rye, NY
August 29, 2006
For information contact:
Agnes Mullady
Ph: (914) 921-8371 or 1-800-GABELLI


  The Gabelli Equity Income Fund will pay the following monthly distributions:

Share Class Dividend
(per share)
Record Date Ex-Dividend, Payment and
Reinvestment Date
Class AAA - Fund 444
(GABEX - Nasdaq)
$0.03 August 28, 2006 August 29, 2006
Class A - Fund 1157
(GCAEX - Nasdaq)
$0.03 August 28, 2006 August 29, 2006
Class B - Fund 1158
(GCBEX - Nasdaq)
$0.03 August 28, 2006 August 29, 2006
Class C - Fund 1159
(GCCEX - Nasdaq)
$0.03 August 28, 2006 August 29, 2006

The source of the $0.03 distribution is net investment income, based on current earnings on a book basis.

The final determination of the proportion of capital gains, ordinary income and non-taxable return of capital, if any, distributed in 2006 will be made after year-end. All shareholders will receive written notification regarding the components and tax treatment for all 2006 distributions in early 2007 via Form 1099-DIV.

The Gabelli Equity Income Fund is managed by Gabelli Funds, LLC and distributed by Gabelli & Company, Inc., subsidiaries of GAMCO Investors, Inc. (NYSE:GBL)