double taxation of dividends

• Double taxation of dividends?

In exposing the falsity of the claim of "double taxation of dividends," one may note that such a claim is on its face literally unsupportable since th...

• California CPA
• Vol. 73 Nbr. 6, December 2004

• Tax Panel Omission

The president's tax reform panel, headed by former Sens. Connie Mack and John Breaux, is set to propose two interesting plans. Plan A is a simplified income tax. Plan B is a more radical consumption- based tax. Both plans have features that would reduce tax code complexity and promote growth. However, the plans are missing a crucial element of supply side tax reform: substantial rate cuts. First, the good news. Plan A would simplify the income tax by consolidating savings incentives and ending itemized deductions. Businesses would get simplified rules for depreciation and foreign earnings. The plan would boost growth by ending the double taxation of dividends and allowing individuals to exclude 75 percent of capital gains from tax.

• The Washington Times
• October 27, 2005

• Why Uncle Sam May Still Get a Piece of Shareholders' Dividends; Bear Stearns Equity Research Examines What the Proposal to Eliminate Double Taxation of Dividends Means for Investors.

Business Editors NEW YORK--(BUSINESS WIRE)--Jan. 31, 2003 Investors may be surprised to find that they may still have to pay federal income tax on...

• Business Wire
• January 31, 2003

• United States v. Goodyear Tire & Rubber Co., 493 U.S. 132 (1989)

...It also distributed dividends to Goodyear, its sole shareholder, which Goodyear ... underlying 902 to eliminate international double taxation would be defeated if a foreign subsidiary...

• U.S. Supreme Court

• Investor Group Assails Kerry On Tax Votes

A pro-business group has issued a report critical of Democratic presidential candidate John Kerry's Senate voting record on matters related to investors. Mr. Kerry, who slightly trails President Bush in a recent poll of investors, routinely has voted against cuts in capital-gains taxes and opposed ending the double taxation of dividends, the American Shareholders Association reports.

• The Washington Times
• April 01, 2004

• The Rise of the Uncorporation.

... the profits of the corporation through dividends and can sell their shares on the open market. This...The corporate tax--characterized as "double taxation," since dividends are taxed as well--was ...

• Michigan Law Review
• Vol. 109 Nbr. 6, April 2011

• Tax Relief Now

On Tuesday, the day the Dow Jones industrial average hit a six- year high (11,640) and came within 100 points of its record close (11,723), House and Senate negotiators finalized a five-year, $70 billion tax-relief package featuring a two-year extension of two important tax cuts that deserve much of the credit for the Dow's three-year-long rally. Also included in the package is a one-year, $31 billion patch to the Alternative Minimum Tax problem, which would otherwise engulf an additional 15.3 million taxpayers. The House was expected to pass the measure last night; and the Senate, where it needs a simple majority, could approve the bill today. Let's review some history. By the end of 2002, relative to their peaks in early 2000, major U.S. stock indexes had suffered serious setbacks: Th...

... the 15 percent tax rates for dividends and capital gains? The Dow has increased by 32 per...

• The Washington Times
• May 12, 2006

• Insiders: Don't Build a New Business On Wrong Structure

People like the sound of the word "corporation," and "while 'LLC' doesn't have the same ring, it gives you the same protection," said Jeff Kelson, partner-in-charge of domestic tax for the Edison accounting firm Amper, Politziner & Mattia. The rules and the taxes differ significantly, but both "accomplish the same end, which is to shelter you from liability," he said. The choice is usually between a corporation and a limited liability company, both of which will, in most cases, shelter the business owner's personal assets from the business. A C corporation pays corporate taxes on its profits; if those profits are distributed to the shareholders as dividends, the shareholders pay taxes on those, resulting in double taxation of the company's profits.

• NJBIZ
• October 13, 2009

• Thank Bush for Our Booming Economy

Hey, Democrats! One year after President Bush's historic tax cut was passed, the economy is up and running. You see, the tax cut reduced income tax rates, upped business depreciation, slashed the capital gains tax and somewhat reduced the double taxation of dividends. Your party predicted a double-dip recession and deflation, but today we find we have to worry about the economy growing too fast. Despite a recession worsened by terrorists and corporate accounting scandals, record-setting growth is under way. The Gross Domestic Product is growing at higher rates than either the 1980s or 1990s.

• Augusta Chronicle, The
• June 21, 2004

• In Praise of Tax Havens

Ever since the Reagan and Thatcher tax-rate reductions began the process of tax competition, nations have been racing to lower rates in hopes of attracting - or retaining - jobs and investment. Since 1980 average top personal income tax rates in the developed world have dropped about 26 percentage points and corporate tax rates more than 21 points. [...] its tax laws are attractive to global investors and entre- preneurs, and second, it protects its fiscal sovereignty by choosing not to enforce the bad tax laws of other nations, at least when they are trying to tax economic activity outside their borders.

... as havens against excessive taxation. Havens Are in The Nationality of The Beholder. So... in convincing politicians to reduce the double taxation of income that is saved and invested. Man... nations have reduced double taxation of dividends, interest, and capital gains. The politicians figu...

• Freeman
• Vol. 59 Nbr. 6, July 2009