It's only double taxation if you arbitrarily consider the transfer of the dividend from the company to yourself to be a non taxable event. Until that point the

It's only double taxation if you arbitrarily consider the transfer of the dividend from the company to yourself to be a non taxable event. Until that point the money isn't "yours" in the full normal sense. If I buy 1% of Exxon I don't have the legal right to extract 1% of its income. Another argument for "double" taxation : corporations are artificial entities created by law with significant privileges, such as shielding owners from direct liability in most cases. That's a privilege society extends and it is arguable reasonable that it is subject to a different tax regime than capital which is owned directly by the individual.