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Role in Investment Portfolio: Dividends such as monthly or quarterly, or may be paid divudend while interest is tied to profit gained. Definition: Types of Interest: 1.
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Are Dividend Investments A Good Idea?A dividend is a portion of a company's earnings that is paid to a shareholder. The most common type of dividend is a cash payout, but some companies will issue. Interest is taxed at your usual income tax rate. � "Interest dividends" from funds are taxed like regular interest. How do I report this income? Answer: Certain payments commonly referred to as dividends actually should be reported as interest, including.
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