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taxed

Definition

Fee imposed by the government, whether it be at the local or federal level , on a product, income, or activity. Taxes are usually paid on a yearly basis and are enforced by either the Internal Revenue Service or local tax administration offices. Individuals who are taxed and do not pay by specific due dates are subject to stiff late penalties.

Featured Tip

How to Lower Taxes on DividendsDividends are taxed either as ordinary income or as qualified dividends. The latter is a lower rate. In order to be taxed as qualified dividends, the investor must have held the stock for more than 60 ... Read more