If Taxes Rise, Grab These Dividend Stocks

To tax or not to tax? That’s the question politicians are contemplating in Washington, DC, as yet another debt ceiling debate looms on the calendar for February 2014. So how can investors get ahead of that debate—a debate that if won by Reid’s argument, will result in investors being a target-rich tax environment next February?

It’s no secret that well-established companies that pay regular dividends outperform the overall market over both the short and long haul. According to Standard & Poor’s, since 1927, dividend-paying stocks have returned 11 percent per year vs. 8 percent for non-dividend paying stocks. Moreover, they have outperformed with less volatility. Two dividend-robust companies to add right now are Dominion Resources (NYSE: D) and General Electric (NYSE: GE).

Source: Investing Daily

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