4 ms·

You pay more taxes on dividends, you still pay taxes on Capital gains, just less.

• jbverschoor 7y ago
  In the US yes, other places, that's not the case
  • sokoloff 7y ago
    In the US, qualified dividends (which is most of them) are taxed at long-term capital gains rates.
  • jbverschoor 7y ago
    Lol what idiots would downvote this... For exampe, in the Netherlands there are no capital gains tax. I think I'll delete my YC account, as it became a shit show
• imtringued 7y ago
  In my opinion that is absolutely illogical because share prices can skyrocket even with weak fundamentals. Dividends should be taxed less because companies can't hype up their stocks to pay out a higher dividend (hype would actually decrease yields). Each dollar that is paid out as a dividend had to be earned by the company.