4 ms·
Seriously? 30-40? Is that accurate!?
by DSingularity 6y ago
Seriously? 30-40? Is that accurate!?
- Terretta 6y agoLess if you include sticker price then deduct VAT.
- valuearb 6y agoFollowing is roughly accurate from memory. Worldwide, Corporate tax rates by country range between 5-55%, but typically are between 20-30%. US Corporate tax rate is now 20%. State corporate tax rates range from zero (NV) to 10%. State income tax rates range from zero to 11%. Federal dividend rates range from 15-20%. Using the the best case scenario (no state income or corporate tax, foreign corporate tax of 5%) gives a total effective tax rate of 35%. Using more typical rates (8% state income/corporate, 25% foreign) produces a total tax rate of 58%. So looks like I was pessimistic, probably because my from memory numbers didn’t include Trump tax cut. But a worst case scenario (France 35%, CA 9%, Dividend 20%) still produces a 65% total effective tax rate.
- AnthonyMouse 6y agoAnd it's a bit worse than that even because of inflation. You buy some shares of Verizon for $21.11 in 1990, you sell them for $56.85 today, they claim you have a taxable gain of $35.74. But 20.62 of that was just inflation, so the rate you're paying on the last bit is really ~47% rather than 20%.