How and when you own an investment that pays dividends can dramatically change the tax rate you pay. Many, or all, of the products featured on this page are from our advertising partners who ...
Qualified dividend status can save you a lot of money because you’ll only pay the long-term capital gains rate on those payouts, instead of the ordinary income tax rate. Ordinary dividends are ...
Ultimately, the importance of this distinction has to do with how dividends are taxed. And knowing which is which can be one way to help potentially lower your tax bill. The tax rate on qualified ...
A qualified dividend is taxed at one of three long-term capital gains tax rates instead of the usually higher tax rate applied to an individual’s ordinary income. As of 2025, these tax rates are ...
The primary difference between ordinary dividends and qualified dividends is the tax rate. The tax rate you pay on ordinary dividend earnings is at the same level as taxes for regular federal ...
(1) - Qualified Dividends shows the portion of the amount in Box 1a that may be eligible for capital gains tax rates (2) - Section 199A Dividends shows the portion of the amount in Box 1a that may ...
with the specific tax rate depending on factors such as your income level and whether the dividends are qualified or non-qualified (also known as ordinary income). However, there are several ways ...
Ordinary dividends are taxed at your ordinary income tax rates, while qualified dividends are taxed at the capital gains rate, which is 0%, 18%, or 20%, depending on your income. (A dividend is ...
(1) Qualified Dividends shows the portion of the amount of Box 1a Ordinary Dividends that may be eligible for capital gains tax rates pursuant to IRC Section 857(c). (2) Section 199A Dividends ...
Blackstone Mortgage Trust, Inc. (NYSE: BXMT) today announced the tax treatment of its 2024 class A common stock dividends. The following table summari ...