This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.

In this episode you will learn:

- The Dividends-Received Deduction (DRD) is exclusively for C corporations to mitigate triple taxation on dividends.

- DRD percentages are set at 50%, 65%, or 100%, depending on the recipient corporation's ownership stake.

- A critical exam trap is the taxable income limitation, which is waived if the full DRD creates or increases a Net Operating Loss (NOL).

- To qualify, stock must be held for more than 45 days within a specific 91-day window around the ex-dividend date.

- The DRD is reduced for dividends received from stock that was purchased with borrowed funds (debt-financed portfolio stock).

For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or YouTube Channel: https://www.youtube.com/@Open-exam-prep