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Most dividends are qualified and thus taxed the same as capital gains.
by dahdum 7y ago
Most dividends are qualified and thus taxed the same as capital gains.
- Scoundreller 7y agoMaybe to the IRS. But if you’re a foreigner owning US stocks, they’re taxed much differently. Right off the bat, the IRS withholds 15-30% of dividende paid to foreigners. Not so with cap gains. And, at least in Canada, US stock dividends are taxed at full personal tax rates. Cap gains are cap gains, foreign or domestic in Canada. So I’m all for cutting dividends and doing buybacks.
- walshemj 7y agoNot really dividends are taxed as income which Is normally higher than capita gains for good reasons. Your basically taking more risk with capital that income to reward you for putting your capital at risk