Thanks for that explanation, it's just like poetry
(I'm not a professional econometrist and my brain is too clogged up right now
for math). As far as I understand, the Jobs and Growth Tax Relief
Reconciliation Act 2003 changed the tax regime for dividends up to 2008.
Qualified dividends of domestic corporations or qualified foreign corporations
are now taxed at a maximum of 15% instead of 20%, and the top rate on
dividends and net capital gains was reduced to 5% for taxpayers in the two
lowest income tax brackets (i.e., 10% and 15%) through 2007 and to 0% in 2008.
That's not really included in the calculation presented,
which doesn't distinguish between pre-tax and post-tax.
J.
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