How do dividends work for mutual funds? | Biggest Dividend http://biggestdividend.com/2009/01/05/how-do-dividends-work-for-mutual-funds/#comment-13 derek Thu, 08 Jan 2009 08:26:54 +0000 http://biggestdividend.com/2009/01/05/how-do-dividends-work-for-mutual-funds/#comment-13 They are passing the dividends they received along to the owners of the company (shareholders). That's part of the deal. Look on the bright side....once you pay the tax on that distribution, you'll never pay tax on that money again (just keep good tax records and adjust your tax basis up). They are passing the dividends they received along to the owners of the company (shareholders). That’s part of the deal.

Look on the bright side….once you pay the tax on that distribution, you’ll never pay tax on that money again (just keep good tax records and adjust your tax basis up).

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