Does the Investment Interest Limitation Explain the Existence of Dividends? / Daniel R. Feenberg.

Format:

Book

Author/Creator:

Feenberg, Daniel R.

Contributor:

National Bureau of Economic Research.

Series:

Working Paper Series (National Bureau of Economic Research) no. w0530.

NBER working paper series no. w0530

Language:

English

Subjects (All):

Taxation.

Physical Description:

1 online resource: illustrations (black and white);

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 1980.

Cambridge, Mass. : National Bureau of Economic Research, 1980.

Summary:

Miller and Scholes show that under certain conditions the Federal Income tax taxes dividend income at a rate no higher than the rate on capital gains. Tabulations of actual 1977 tax returns show that the special circumstances under which this can occur apply to less than 3% of dividend income and no significant role can be ascribed to their result in the determination of corporate dividend policy.

Notes:

Print version record

August 1980.

Includes bibliographical references.