dividend income at the household level. A reduction of the tax burden on dividends is therefore merely an undesirable subsidy …This paper analyses the optimal taxation of dividends and other types of income from portfolio investment. We show that …, in an open economy, it is not desirable to offer double taxation relief for dividends paid by domestic firms to domestic …

dividends. We show both theoretically and empirically that dividends signal safer, rather than higher, future profits. Using the … model's predictions, cash-flow volatility changes in the opposite direction from that of dividend changes and larger changes …

tax rates on individual dividend income from zero to 28 percent. We document strong timing effects on dividend payout on a … large panel of non-listed corporations, with a surge of dividends prior to 2006 and a sharp drop after. Mature firms are … more likely to pay dividends, and high asset growth increases the probability of retaining all earnings. Intertemporal …

personal taxes on dividends and capital gains will not reduce the cost of capital. Some authors have shown that even for small …

This paper examines how the effects of dividend taxation on the cost of new equity funds depend on whether or not … shareholders can recover their original equity injections without being subject to the dividend tax. We point out the alternative … cash to its shareholders that is not taxed as dividends, the other where the shareholders are allowed a tax-free return of …

take into account financial constraints on dividend policy faced by firms investing in both the United States and the … United Kingdom. The paper incorporates financial constraints on dividend policy into the analytical framework for the … stable. -- capital income taxation ; dividend policy ; effective marginal tax rates ; financial constraints …

We test whether dividend taxes affect corporate investments. We exploit Sweden's 2006 dividend tax cut of 10 percentage … data and triple-difference estimators, we find that this dividend tax cut affects allocation of corporate investment. Cash …-constrained firms increase investment after the dividend tax cut relative to cash-rich firms. Reallocation is stronger among closely …