For the United States, the answer is indeed "no," but I don't know the answer for other countries.
This is one of the defining characteristics of an "investment company," and a key provision of the Investment Company Act of 1940. Mutual funds, ETFs, and closed-end funds are all kinds of investment companies (in the technical sense of the phrase).
An "investment company" is a special kind of company; instead of manufacturing something or providing a non-financial service, it's in the business of investing customers' money for them. Investment companies have special regulations, and one of them is that they are allowed to pass through dividends without themselves being taxed on them.
This is one of the defining characteristics of an "investment company," and a key provision of the Investment Company Act of 1940. Mutual funds, ETFs, and closed-end funds are all kinds of investment companies (in the technical sense of the phrase).
An "investment company" is a special kind of company; instead of manufacturing something or providing a non-financial service, it's in the business of investing customers' money for them. Investment companies have special regulations, and one of them is that they are allowed to pass through dividends without themselves being taxed on them.
Statistics: Posted by nisiprius — Sun Sep 29, 2024 8:32 pm — Replies 1 — Views 68