Which party receives the greatest tax benefit for preferring dividends over capital gains?

Question

Quizplus · Accepted Answer

Corporations receive a greater tax benefit for preferring dividends over capital gains because they are eligible for the corporate dividend received deduction, which allows them to exclude a portion of the dividends received from taxation. Individual investors and financial institutions also receive some tax benefits for preferring dividends over capital gains, but not as much as corporations. Foundations do not receive any tax benefits for either dividends or capital gains.

Which Party Receives the Greatest Tax Benefit for Preferring Dividends