When the profits of a corporation are taxed and the dividends paid to stockholders are also taxed

Name: When the profits of a corporation are taxed and the dividends paid to stockholders are also taxed
Brand: Quizplus
Rating: 4.8 (51 reviews)

Question

Quizplus · Accepted Answer

Double taxation occurs when the same income is taxed twice, as in the case of corporate profits being taxed at the corporate level and then again when dividends are paid to shareholders. This is often criticized as unfair because it can discourage investment and entrepreneurship.

When the Profits of a Corporation Are Taxed and the Dividends