Dividends are taxed as income in the hands of investors, potentially attracting rates as high as 36% for some taxpayers. By contrast, gains from shares sold in the market are subject to capital gains tax rates of 12.5% for long-term holdings and 20% for short-term holdings.
Dividends are taxed as income in the hands of investors, potentially attracting rates as high as 36% for some taxpayers. By contrast, gains from shares sold in the market are subject to capital gains tax rates of 12.5% for long-term holdings and 20% for short-term holdings.
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