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> This implies that things like dividends should not be taxed, since no commerce occurs. All that happened is a piece of property split into two. Would you favo
by curun1r 11y ago
> This implies that things like dividends should not be taxed, since no commerce occurs. All that happened is a piece of property split into two. Would you favor this outcome? If not, why not?
I'm fine with that, so long as the corporate tax side of the equation balances...companies use dividends to reduce their income and the taxes they pay. If a dividend is just splitting an asset in two, it shouldn't be deductible.
- yummyfajitas 11y agoDividends are paid with after-tax income. You might be confusing them with distributions paid by pass-through entities (where corporate income is treated as personal income by the owners).