What is an s corporation

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1. What are the differences between the operating income, capital gains income, and dividend income of a corporation: At approximately what rates are these different types of income taxed?

For corporate shareholders that own between 20 percent and 80 percent of the voting power and value of the stock of a dividend-paying corporation, there is an 80 percent dividends-received exclusion. There is a 100 percent dividends-received exclusion if a corporation owns more than 80 percent of the stock of a dividend-paying corporation.

2. What is an S corporation?

3. What do you think is the reason for the 70 percent corporate-dividend exclusion?

Reference no: EM13929507

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