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ABC Corporation Declared a Dividend for Taxpayers of Record as of December

Question 3

True/False

ABC Corporation declared a dividend for taxpayers of record as of December 24, 2016. The dividend checks were mailed on December 31, 2016. Ed, a cash basis shareholder, received the dividend check on January 2, 2017. Ed cannot delay reporting the income from the dividend until 2017.

Correct Answer:

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