Dividend Exclusion for Corporate Shareholders (2 of 2) Example What will be the taxable income if firm A receives $100,000 in dividends from firm B Dividend Exclusion Dividend Income Taxable income Ownership Interest Less than 20% 70% $30,000 $25,000 20% to 79% $100,000 $100,000 $100,000 75% 80% or more 100% $0