2014 Tax Information for T. Rowe Price Taxable Funds
Dividends-Received Deduction (for corporations only)

Corporate taxpayers generally are entitled to a deduction for dividends received from another domestic corporation. To determine the amount of dividends qualifying for this deduction, multiply the "percent qualifying for deduction" (shown in the table) by the amount of your total ordinary dividends. Please note that ordinary dividends of a mutual fund includes, if applicable, net short-term capital gains and foreign taxes paid.

Note that you may not take this deduction for a dividend on shares of a fund that have been held for less than 46 days during the 91-day period beginning on the date 45 days before the ex-dividend date. You may find your fund's ex-dividend date here.

Dividends-Received Deductions Tables
T. Rowe Price Domestic Stock Funds
  Percent Qualifying for Deduction1
Balanced (All Quarters) 21.83%
Blue Chip Growth 100.00%
Capital Appreciation 20.37%
Capital Opportunity 90.59%
Diversified Mid-Cap Growth 60.30%
Diversified Small-Cap Growth 96.04%
Dividend Growth (All Quarters) 100.00%
Equity Income (All Quarters) 100.00%
Equity Index 500 (All Quarters) 100.00%
Extended Equity Market Index 48.53%
Financial Services 100.00%
Growth & Income (All Quarters) 100.00%
Growth Stock 62.71%
Health Sciences 33.08%
Media & Telecommunications 20.30%
Mid-Cap Growth 84.85%
Mid-Cap Value 80.44%
New America Growth 19.72%
New Era 34.39%
New Horizons 63.94%
Personal Strategy Balanced (All Quarters) 19.07%
Personal Strategy Growth 26.66%
Personal Strategy Income (All Quarters) 12.54%
Real Assets 24.80%
Real Estate (All Quarters) 3.48%
Science & Technology 6.26%
Small-Cap Stock 76.80%
Small-Cap Value 100.00%
Tax-Efficient Equity 100.00%
Total Equity Market Index 99.13%
U.S. Large-Cap Core 37.25%
Value 75.37%
T. Rowe Price Taxable Bond Funds
  Percent Qualifying for Deduction1
Corporate Income
Credit Opportunities 0.88%
Floating Rate
High Yield 0.78%
Inflation Protected Bond
New Income
Prime Reserve
Short-Term Bond
Strategic Income 0.27%
Summit Cash Reserves
Summit GNMA
Ultra Short-Term Bond
U.S. Bond Enhanced Index
U.S. Treasury Intermediate
U.S. Treasury Long-Term
U.S. Treasury Money
T. Rowe Price Tax-Free Bond Funds
  Percent Qualifying for Deduction1
California Tax-Free Bond
California Tax-Free Money N/A
Georgia Tax-Free Bond
Intermediate Tax-Free High Yield
Maryland Short-Term Tax-Free Bond N/A
Maryland Tax-Free Bond N/A
Maryland Tax-Free Money N/A
New Jersey Tax-Free Bond N/A
New York Tax-Free Bond N/A
New York Tax-Free Money N/A
Summit Municipal Income
Summit Municipal Intermediate
Summit Municipal Money Market N/A
Tax-Exempt Money N/A
Tax-Free High Yield 34.72%
Tax-Free Income
Tax-Free Short-Intermediate N/A
Virginia Tax-Free Bond N/A
T. Rowe Price International Stock and Bond Funds
  Percent Qualifying for Deduction1
International Stock Funds
Africa & Middle East
Asia Opportunities 6.72%
Emerging Europe
Emerging Markets Stock 0.46%
European Stock 1.57%
Global Allocation 8.36%
Global Growth Stock 6.87%
Global Industrials 71.59%
Global Infrastructure 9.08%
Global Real Estate (All Quarters) 3.97%
Global Stock 62.45%
Global Technology 1.35%
International Concentrated Equity
International Discovery 0.06%
International Equity Index
International Growth & Income
International Stock 0.39%
Latin America 2.16%
New Asia
Overseas Stock 0.35%
International Bond Funds
Emerging Markets Bond
Emerging Markets Corporate Bond
Emerging Markets Local Currency Bond
International Bond N/A
T. Rowe Price Retirement and Spectrum Funds
  Percent Qualifying for Deduction1
Retirement 2005 21.66%
Retirement 2010 25.05%
Retirement 2015 26.80%
Retirement 2020 29.26%
Retirement 2025 31.52%
Retirement 2030 33.01%
Retirement 2035 33.88%
Retirement 2040 37.58%
Retirement 2045 36.31%
Retirement 2050 38.19%
Retirement 2055 36.85%
Retirement 2060 35.87%
Retirement Balanced2 25.92%
Spectrum Growth 42.48%
Spectrum Income 7.84%
Spectrum International 0.64%
Target Retirement 2005 18.44%
Target Retirement 2010 19.84%
Target Retirement 2015 21.98%
Target Retirement 2020 25.06%
Target Retirement 2025 27.51%
Target Retirement 2030 27.82%
Target Retirement 2035 28.76%
Target Retirement 2040 32.48%
Target Retirement 2045 34.24%
Target Retirement 2050 36.29%
Target Retirement 2055 37.50%
Target Retirement 2060 37.59%
T. Rowe Price Variable Annuity Portfolios3
  Percent Qualifying for Deduction1
Blue Chip Growth Portfolio N/A
Equity Income Portfolio (All Quarters) 100.00%
Equity Index 500 Portfolio (All Quarters) 100.00%
Health Sciences Portfolio 27.52%
International Stock Portfolio 2.02%
Limited-Term Bond Portfolio
Mid-Cap Growth Portfolio 94.57%
New America Growth Portfolio 18.82%
Personal Strategy Balanced Portfolio
(All Quarters)
Prime Reserve Portfolio N/A

Percentages are the same for all fund classes (Investor, Advisor, R, and II).

N/A indicates that a fund did not pay a dividend or short-term capital gain or pass through a foreign tax expense.

A dash indicates that the fund paid a dividend or short-term capital gain, but it was not entitled to a deduction for dividends received.

1This percentage applies to the sum of your income dividend plus short-term capital gain distribution paid for the calendar year or other period, if indicated, as reported in Box 1a of your IRS Form 1099-DIV.

2Formerly T. Rowe Price Retirement Income Fund.

3For existing clients who are considering an exchange or investment into a new portfolio and would like to request a prospectus, please call 1-800-469-6587. The prospectus includes investment objectives, risks, fees, expenses, and other information that should be read and considered carefully before investing.

The T. Rowe Price No-Load Variable Annuity is issued by Security Benefit Life Insurance Company (Form V6021). In New York, it is issued by First Security Benefit Life Insurance and Annuity Company of New York, White Plains, New York (FSB201 - 11/96). Security Benefit Life is not licensed in New York and does not solicit business in New York. The Variable Annuity, which has been available since April 1995, and in New York since November 1995, has limitations; contact your representative. It was distributed previously by T. Rowe Price Investment Services, Inc., and T. Rowe Price Insurance Agency, Inc., and is no longer available to new contract holders. The underlying portfolios are managed by T. Rowe Price Associates, Inc. The Security Benefit Group of companies and the T. Rowe Price companies are not affiliated.