Depending on political developments, taxpayers could face higher taxes on investment income in 2013, including a new Medicare tax on net investment income and the sunset of lower rates for capital gains and qualified dividends
Furthermore, increasing the tax rates on capital gains and qualified dividends
undermines America's ability to maintain its position as a worldwide economic leader.
Lower Tax Rates on Long-Term Capital Gains and Qualified Dividends
Noticeably absent from the list of QFCs that are ineligible to pay qualified dividends
are controlled foreign corporations (CFC).
Nasdaq: TRMS) today announced it recently completed the mailing of IRS Forms 1099 to its shareholders reporting the classification of the special cash dividends paid during 2008 between ordinary dividends that are qualified dividends
and non-dividend distributions that are a return of capital for federal income tax purposes.
09 per share of qualified dividends
reflects qualified dividend
income received by American Capital from portfolio companies in 2009.
1(g)(3), if a child's unearned income included net capital gains and/or qualified dividends
, it was allocated between the parent and the child (because, under Sec.
24411(a) provides for a deduction of 75 percent of qualified dividends
in the case of a water's-edge election.
None of the Series B preferred dividends paid by the Company were Qualified Dividends
unitholders are encouraged to utilize the Qualified Dividends
and Capital Gain Tax Worksheet of Form 1040 to determine the amount of tax that may be otherwise applicable.
With the 2003 reduction in tax rates for qualified dividends
and net capital gains, this tax has become even thornier; tax professionals have to figure out how to apply the law and advise their clients.
The Fund will seek to take advantage of three potential sources of tax-advantaged income and gains: qualified dividends
, index call options written and stock price appreciation.