Bank Holding Companies and Financial Holding Companies Generally Do Not
Bank holding companies and financial holding companies generally do not pay income tax because:
A)they are always chartered as non-profit corporations.
B)most of their income is subsidiary paid dividends, of which 80% is tax-exempt.
C)the subsidiaries always operate at a net loss.
D)bank holding companies must carry deposit insurance.
E)bank holding companies are not subject to Internal Revenue Service regulations.