Which of the following incomes are taxed at a lower rate?
A)Award proceeds
B)Interest income
C)Rent received
D)Dividends

Question

Quizplus · Accepted Answer

Dividends are taxed at a lower rate than other types of income such as interest income, rental income, or award proceeds. This is because dividends are generally paid out of a company's after-tax earnings, so they have already been subject to corporate income tax. As a result, the tax on dividends is often lower than the tax on ordinary income.

Which of the Following Incomes Are Taxed at a Lower