nominee dividend
Definition
A dividend that is received by an individual on behalf of another. When a dividend is passed on to another recipient, the original recipient is required to file an IRS Form 1099-DIV in order to receive a dividend adjustment for the purpose of reducing their taxable dividend interest. However, the new recipient of the dividend is required to pay tax on this dividend income.
Related Articles
- Which High Return Investment Is Right For Your Retirement Savings? *
- "Sell Covered Call" Option Investment Strategy *
- ETFs - Basic Facts *
- How to Avoid or Escape Credit Card Debt *
- College Loans Overview *
- Installment Sale *
- ECN's and Online, Day and Active Trading *
- An Overview of Mortgages *
Related Videos
http://www.businessdictionary.com/definition/nominee-dividend.html
