Number: RS21541
Title: Tax Treatment of Dividends Under the 2003 Tax Cut: Fact Sheet
Authors: Jane G. Gravelle, Government and Finance Division 
Abstract: While ordinary and preferred stock dividends, along with some foreign dividends, are eligible for dividend relief in the form of lower tax rates, certain dividends are not eligible. Dividends retain their original character if received indirectly through mutual funds and real estate investment trusts are eligible. Dividends which are already eligible for tax preferences and held in pensions or IRAs are not eligible.
Pages: 2
Date: Updated June 11, 2003