Question

Why there is no tax benifit in case of preference shares ?​

Answer 1

Answer:

Explanation:

Preferred shares do not actually offer the issuing company a direct tax benefit. The reason for this is that preferred shares, which are a form of equity capital, are owed fixed cash dividends that are paid with after-tax dollars. This is the same case for common shares

Answer 2

Answer:

Why is there no tax savings in case of preference shares?

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