For top earners, the tax rate on dividends is going to hit 43.4% if there are no changes in the current law. There are many layers to this whole "fiscal cliff" drama. The spending cuts are just one, but the potential hits to the economy are numerous, and this is just one example. Goldman's Alec Phillips says:
The most likely scenario in our view is an extension of these investment-related tax rates along with other expiring tax provisions into mid-2013, at which point broader reform legislation might be enacted. Over the longer term, the risk is clearly in the direction of higher rates on capital income, since tax rates on capital gains and dividends are at historical lows, the Obama Administration has withdrawn support for preserving preferential rates on dividend income, and a new 3.8% tax on passive income is likely to take effect for some taxpayers in 2013 regardless of what Congress decides on the "fiscal cliff."
Source: Business Insider
Related Articles:
- The Most Important Thing To Consider When Selecting A Dividend Stock
- 3 Powerful Concepts for Compounding Wealth with Dividend Stocks
- 11 Higher Yielding, Lower Risk Stocks To Perk Up Your Dividend Income
- 4 Secrets To Finding The Best Dividend Stocks
- 7 Undervalued, Big-Name Stocks To Consider For Your Dividend Portfolio
The Market Is Punishing Dividend Stocks
Posted by D4L | Wednesday, May 16, 2012 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
The best dividend stocks have one thing in common: resiliency. They can continue increasing their dividends even in the harshest economic en...
-
Investors wanting to enjoy steady and consistent income should consider dividend aristocrats. In fact, even in these chaotic times, dividend...
-
Dividends and diversification -- those two things can help you achieve a comfortable retirement when combined with the income you will recei...
-
Higher dividend yields often imply that the underlying company paying the dividend has a higher risk profile. However, that's not always...
-
It's hard to beat a sustainable, high-yield dividend paired with a beaten-down valuation. The best dividend stocks offer high yields and...
-
Strange but true: seniors fear death less than running out of money in retirement. And unfortunately, even retirees who have built a nest eg...
-
When hunting for discounted investments, one excellent starting point is to look for businesses with dividend yields trading above their fiv...
-
How high is too high when it comes to dividend stocks? Of course, every income investor wants as much yield as possible. However, they also ...
-
A select group of monthly dividend stocks pays dividends at a rate of 10% or higher. Those are the ones on this list. Investors should be aw...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.