The taxation of dividends in Germany underwent major changes. We analyze the implications of these changes for the … valuation of DAX futures contracts and test the resulting hypotheses empirically. We find that dividend taxation cannot explain …. Multivariate regressions confirm the finding that dividend taxation affects futures prices. …

signi cant reduction in the valuation of net dividends - in particular for high dividend yield stocks - and weakening payout … classical system. Theory suggests that both price drop ratios and trading volume decrease following the reform. We document a … policy tax clienteles. Ex-dividend day returns are likely to be driven by short-term traders. Though the reform removed …