Actually, in the US the dividend will be taxed as a "qualified dividend" and be taxed at 0%, 15%, or 20% rates, plus the 3.8% Medicare tax if it applies to you.
Also incorrect. A qualified dividend requires you to hold the stock for 60 days in a window around the ex-dividend date. If you do not meet this holding requirement, it is taxed as an "ordinary dividend". It all depends on how long you have held the stock.
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Originally Posted by msuberly
Actually, in the US the dividend will be taxed as a "qualified dividend" and be taxed at 0%, 15%, or 20% rates, plus the 3.8% Medicare tax if it applies to you.
Also incorrect. A qualified dividend requires you to hold the stock for 60 days in a window around the ex-dividend date. If you do not meet this holding requirement, it is taxed as an "ordinary dividend". It all depends on how long you have held the stock.