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Which of the Following Is True of Taxes and Dividends

Question 39

Multiple Choice

Which of the following is true of taxes and dividends?


A) Corporations pay federal,but not state taxes on dividends
B) Shareholders pay taxes on dividends they receive
C) Dividends are not taxed
D) Corporations may take a tax deduction for dividends
E) Corporations pay state,but not federal,taxes on dividends

Correct Answer:

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