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tares lare dividend payed by stockholders by a firm that owns the stock the stock of another corporation does not have to on the entire

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tares lare dividend payed by stockholders by a firm that owns the stock the stock of another corporation does not have to on the entire amount dividend received. received by one corporation from another recente reale, only zo percent of the dividering are toccable. The reason for the law features is to mitigate the effect of triple taxation, which occurs when earnings are first taxed at the firm, its dividends paid to the second firm paid to stockholders by the second and the Second firm are faced yet again assume that a firm with a 25 percent toox rate received $400,000 in dividend from another corporation. What took must be paid on this dividend, and what is the after-tax amount are torced

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