S corporations are not entitled to a dividends received deduction.

Name: S corporations are not entitled to a dividends received deduction.
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S corporations are not eligible for the dividends received deduction because they are pass-through entities and their income is only subject to individual income tax, not corporate income tax. The dividends received deduction is only available to regular C corporations that are subject to corporate income tax.

S Corporations Are Not Entitled to a Dividends Received Deduction