We examine the hypothesis that dividend taxes are capitalized into share prices by focusing on investors' implicit …-in equity is distributable as a tax-free return of capital. Consistent with dividend tax capitalization, firm-level results for … addition, differences in dividend tax rates across U.S. tax regimes are associated with predictable differences in the …

We empirically document that stock prices moved inversely with dividend yields during the May, 1997 week, when the … share prices of other firms. Among firms paying dividends, the change in share prices was decreasing in dividend yields. The …

The behavior of stock prices around ex-dividend days has been suggested as evidence for tax-induced clientele effects … examined theoretically and empirically. Theoretically it is shown that the measured price drop per dollar of dividend may … provide a biased estimate of the effective tax rate. Looking at the volume of trade around ex-dividend days we show that the …

This paper uses British data to examine the effects of dividend taxes on investors' relative valuation of dividends and … radical changes and several minor reforms in British dividend tax policy during the last twenty-five years. Studying the … data on a much broader sample, we find clear evidence that taxes change equilibrium relationships between dividend yields …

This paper examines the empirical relation between stock returns and dividend yields. Several equilibrium pricing …

This paper investigates the effects of increased cash dividend payout, and of quot;forced realizations~ of capital … United States, Great Britain, and Canada suggests that higher dividend tax rates lower consumption. This is consistent with …

Statistics of Income data for dividend and interest income earned by U.S. households from 1954 to 1980. To illustrate the effects …

We develop a dynamic general equilibrium model to study the impact of the 2003 dividend and capital gains tax cuts. In … adjustment costs, equity issuance costs, and collateral constraints. We show that when the dividend and capital gains tax cuts … are unexpected and permanent, dividend payments, equity issuance, and aggregate investment rise immediately. By contrast …

To study the long-run effect of dividend taxation on aggregate capital accumulation, we build a dynamic general … equilibrium model in which there is a continuum of firms subject to idiosyncratic productivity shocks. We find that a dividend tax … model simulations show that when both dividend and capital gains tax rates are cut from 25 and 20 percent, respectively, to …