Company Dividends Tax

Question: Should Washington tax capital gains from stock “trading” up the wazzou, and reduce taxes on dividends to zip?

Stock trading does nothing to improve a company, none of the money goes to the factories or warehouses. Stock trading is just a Ponzi scheme, aways looking for a bigger sucker than you to buy your stock.

Dividends indicate the company makes a profit and shares that profit with the shareholders.

So tax the capital gains on stocks 70-80%, paid out dividends are tax free.

What say you?

Answer: I agree in principle if not with the tax rates that you propose – not so much because of the benefit to the companies, but because it would encourage people to INVEST instead of trying to “day trade.” Companies would be encouraged to pay dividends instead of engaging in stock price “pumping” and silly stock buy backs.

Unfortunately, “the system” (stock exchanges, brokerages, investment banks, etc.) would lobby against any such changes because they make too much money from trading.

What the Government don’t want you to know….. part 2