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Paul [167]
2 years ago
4

The interest received from a collateralized mortgage obligation is subject to? a federal income tax only b state income tax only

c local income tax only d federal, state and local income tax
Business
1 answer:
stealth61 [152]2 years ago
7 0

D) subject to both Federal and State Local income tax (As well as Local income tax)

<h3>Explanation:</h3>
  • The securities underlying CMOs are GNMA or FNMA mortgage-backed pass-through certificates.
  • The interest on these securities is subject to both Federal, State, and Local income tax; hence CMOs are taxed in the same manner.

To learn more about it, refer

to brainly.com/question/24553900

#SPJ4

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