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ACCT 429 Week 5 DQ 2 Taxation of Corporate Dividends
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Relatively recent revisions to the Code have modified the tax treatment of dividends. Put your Internet research skills to use and tell me about these changes and their consequences. In particular, tell me (1) what dividends are, as defined by the Code, (2) what the recent changes effectively do (and how it was different from the prior approach to the taxation of dividends), and (3) what the changes sought to achieve (in other words, why was the change made?).