6 ms·

You pay taxes on dividends.

• mythz 6y ago
  You pay more taxes on dividends, you still pay taxes on Capital gains, just less.
  • jbverschoor 6y ago
    In the US yes, other places, that's not the case
    • sokoloff 6y ago
      In the US, qualified dividends (which is most of them) are taxed at long-term capital gains rates.
    • jbverschoor 6y ago
      Lol what idiots would downvote this... For exampe, in the Netherlands there are no capital gains tax. I think I'll delete my YC account, as it became a shit show
  • imtringued 6y ago
    In my opinion that is absolutely illogical because share prices can skyrocket even with weak fundamentals. Dividends should be taxed less because companies can't hype up their stocks to pay out a higher dividend (hype would actually decrease yields). Each dollar that is paid out as a dividend had to be earned by the company.