Re:Alphabet overtakes Apple to become most cash-rich company
by winter_blue on Friday August 02, 2019 @02:07PM
(#20595190)
In the U.S., if you've held the stock for at least one year, its dividends are taxed at a very favorable long-term capital gains rate. Stock held for less than a year is however taxed like regular income.
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Re:Alphabet overtakes Apple to become most cash-rich company
by jjeaff on Friday August 02, 2019 @05:28PM
(#20596809)
It's not that favorable if all the corporate cash is stored overseas in low tax holding countries.
The corporation will have to repatriate the money and pay corporate income tax on it before they give you your dividends.
Alternatively, they could just grow that hoard of cash and let your stock appreciate after which you can sell a few shares and get capital gains rates on capital that didn't have to be double taxed.