December 26, 2012

Double Taxation

The article by Dan Mitchell at the Cato Institute (linked below) is rightly critical of large company CEO's who have supported higher personal income tax rates. Beyond that, if you click the link on "dividends" it will take you to another post by Mitchell. In that post you will find another link to a report by Ernst and Young on the taxation of capital gains and dividends.

It's worth looking at all of this stuff, but if all you do is read the Executive Summary of the report, you will have a better understanding of the current debate on taxes than most folks you know. Most folks have no idea that the integrated rates on capital gains and dividends in the U.S. are among the highest in the world already, and are about to go higher. The result will be a drag on capital formation. There is a lot more to the "fiscal cliff" debate than whether the "rich" should "pay just a little more".

Crony Capitalists Endorse Higher Taxes on Their Small Business Competitors

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