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bvrlt | 6 years ago

You pay taxes on dividends.

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mythz|6 years ago

You pay more taxes on dividends, you still pay taxes on Capital gains, just less.

imtringued|6 years 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.

jbverschoor|6 years ago

In the US yes, other places, that's not the case