Obama's Dividend Assault

Obama's Dividend Assault Rate Topic:

#1 opus313

What are you lookin' at?

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Posted 22 February 2012 - 10:39 AM

Obama's Dividend Assault

Think this thread will attract any of our resident O dog-washers?

WSJ

Mr. Obama is proposing to raise the dividend tax rate to the higher personal income tax rate of 39.6% that will kick in next year. Add in the planned phase-out of deductions and exemptions, and the rate hits 41%. Then add the 3.8% investment tax surcharge in ObamaCare, and the new dividend tax rate in 2013 would be 44.8%—nearly three times today's 15% rate.

Keep in mind that dividends are paid to shareholders only after the corporation pays taxes on its profits. So assuming a maximum 35% corporate tax rate and a 44.8% dividend tax, the total tax on corporate earnings passed through as dividends would be 64.1%.

<snip>

The question is how this helps anyone. According to the Investment Company Institute, about 51% of adults own stock directly or through mutual funds, which is more than 100 million shareholders. Tens of millions more own stocks through pension funds. Why would the White House endorse a policy that will make these households poorer?

Seldom has there been a clearer example of a policy that is supposed to soak the rich but will drench almost all American families.

#2 horseman

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Posted 22 February 2012 - 12:05 PM

Lovely.

#3 Coach

Coach

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Posted 22 February 2012 - 12:23 PM

If passed it will devestate my wife's and my savings. I got news for Obama, we aren't rich, we built our investment portfolio over the course of fifty years. This is war on the middle class.

#4 Hieronymous

Men with ropes around their necks don't always hang

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Posted 22 February 2012 - 11:25 PM

The goal of statism has always been the elimination of the middle class. Hayek's book wasn't called The Road to Serfdom for no reason.

#5 Ticked@TinselTown

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Posted 23 February 2012 - 03:53 AM

The dogs needing a good washing are backing up in here... :whistling:

#6 horseman

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Posted 23 February 2012 - 04:40 PM

It's really nice to discover that I am one of "the rich". Makes me wonder why I'm still driving a fourteen year old car.

#7 metzger01

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Posted 23 February 2012 - 08:09 PM

#8 Taggart Transcontinental

Conservative Dark Side

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Posted 24 February 2012 - 08:29 AM

Quote

Who would get hurt? IRS data show that retirees and near-retirees who depend on dividend income would be hit especially hard. Almost three of four dividend payments go to those over the age of 55, and more than half go to those older than 65, according to IRS data.

This is the intended target of all his policies. Hurt the people over 40. They are the middle class but more importantly they are the one's that Obama's cult believe harm our nation. We are the more educated, experienced and skilled people out there. We don't fall for their tripe like the 18-30 crowd does and thus we are the one's they need to get rid of. Eugenic's calls for a more youthful society of chosen that can be recycled quickly and be replaced with new generations quickly. Over 40 is a waste of resources for them Thus we see Obama-don't-care which hurts seniors, we see attacks on capital investment and we see this stuff. Why? Older people invest whereas the 18-30 crowd live only for today and a promise of tomorrow.