By Sidney Kess and Julie Welch
The CPA Journal
February 2020
With stocks at or near record levels, prudent financial planning might call for taking defensive measures. One strategy could be to focus on dividend-paying stocks. Companies that make enough money to distribute some to shareholders tend to be financially strong, and they generally have held up reasonably well during market pullbacks.
What’s more, qualified dividends offer tax breaks to investors holding them in taxable accounts; the same is true for qualified dividends passed through from mutual funds. In this article, authors Sidney Kess and Julie Welch, delve into how such dividends may receive the same favorable tax rate as long-term capital gains.
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Published with permission from The CPA Journal.
Click here for the full article.
