Test - Senior Tax Speciali nvestment Income, Interest, and Dividends uestion 31 of 75. of the following best describes qualified dividends? O Dividend distributions that are considered a return of capital. O Ordinary dividends that are subject to the same maximum tax rate that applies to net capital gain. O Dividends that may be used to purchase additional shares in a corporation. O Dividends that are distributed when a corporation issues an additional amount of stock, usually as a percentage ot Mark for follow up uestion 32 of 75. a taxpayer elects to reinvest dividend income from a mutual fund investment, the dividend O Automatically taxed at a lower capital gains tax rate. s are: Treated as normal dividends and taxable in the year received D Not taxable until the fund is solod