Posted on 02/14/2012 2:15:14 PM PST by BenLurkin
Households earning more than $250,000 a year would see the tax they owe on dividends rise to a maximum of almost 40% next year, equal to the higher maximum income tax rate set to take effect in 2013. The current top income rate is 35%.
Obama again proposed raising the current 15% long-term capital gains tax rate to 20%
(Excerpt) Read more at tvnz.co.nz ...
We don’t make $250K...but, someone, please, someone, please make Obomba go away!!!!
DOA
Hardly.
Obama is just plain crazy and so are his bootlickers.
We don’t make $250K...but, someone, please, someone, please make Obomba go away!!!!
You do know that Obama is never going away
I'd be willing to accept taxing long-term capital gains as ordinary income, too -- as long as the cost basis is indexed by the CPI.
Example: you buy a stock for $100/share in 2007. In the past 5 years, the CPI has increased 15% (not exactly, but I'm using that as an easy example). So, when you sell the stock in 2012, the cost basis is $115/share, instead of $100/share.
If you sell the stock in 2012 for $120, you only pay capital gains/income taxes on $5/share, not the $20/share that is primarily due to inflation.
“I would have no problem with taxing dividend income as ordinary income, with one provision: The corporation can expense dividend distributions, so the dividends aren’t doubly taxed by corporate income taxes.’
Are dividend distributions taxed now?
I think that’s the point.
“See, the republicans oppose fairness”
I just wish some goper would get the nuts to shove “fairness” right back down his throat.
Fairness, as dictated by 0bama, enforced by government through the threat of violence, differs from communism how?
Yes, they are. They are considered profit/net income.
So, dividend distributions are taxed twice: once by the corporate income tax, and again by the individual income tax.
That's the real reason for the reduced individual income tax on qualified dividends, but that doesn't fit the narrative of "class warfare".
Why would Obama tax dividend income then allow expensing of dividend distribution?
That’s great. So dividends issued on shares I purchased with money already taxed will now be subject to a 40% tax AFTER the corporations’ profits have already been taxed at 35%. When I took economics courses at university the consequences of tax policies, their impact on private sector capital and by extension employment and GDP were taught straightforward without any taint of partisnship. What must they be teaching now, twenty years later, when the people running the country are claiming THIS TIME we’ll get a different result by squeezing the private economy to engorge the public sector. Capital gains tax amounts to a double tax as well, an enormous disincentive for risktakers to invest.
Leftist activist economists (”-ist-ist-ists”) rewrite very well settled, previously incontrovertible, economic theory just like leftists rewrite history and judicial intent behind statutes and contitutions. The Nazis were famous for this sort of thing.
Thanks for the post.
The founding fathers told us what to do in situations like we are now facing.
Set off the claxons, go to defcon 1 and fire.
GOSH, that’s so... “***unexpected***”
That’s the downside of his somehow miraculously losing in 2012—you know he’d be back for another term as soon as they could steal another election.
I am waiting for a majority of the country to join me over here at insufferable. The wait is aweful lonesome.
I was always taught....”Never say never”....
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