Tag: excise

[ad_1] inflation reduction act (IRA) included a new 1 percent stock buyback excise duty on U.S. publicly traded corporations approved by Congress last week. Many of these companies now spend their excess cash repurchasing stock from their shareholders instead of paying dividends or investing more in their firms. The new tax would discourage stock repurchases and encourage dividend payments. As a result, it would increase US tax receipts from foreign investors, which Americans do not pay capital gains tax when they sell stock but dividends are taxed. they receive. From…