Which of the Following Statements Regarding Preferred Share Financing Is

Which of the following statements regarding preferred share financing is FALSE?

A) Preferred share dividend payments are non-deductible.
B) The preferred share issue may be structured so as to enhance the after-tax return of investors.
C) Current tax laws simplify the nature of preferred share financing for corporations.
D) There is a special tax on preferred dividends in excess of $500,000 annually, even if the issuing corporation has no taxable income.