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Strategies & Market Trends : Dividend investing for retirement

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To: Thehammer who wrote (24295)1/28/2016 8:19:17 PM
From: Elroy  Read Replies (1) of 34328
 
Speaking of TD and dividends, I like TD's new feature which allows one to be able to select and deselect dividend reinvestment for individual stocks.

I am surprised that more firms don't offer this feature.


I'm surprised more stocks/companies don't offer their shareholders the choice of a cash dividend (which many then reinvest, after getting taxed on it) or a stock distribution (which is tax free, right??). If you reinvest the cash dividend, it's the same amount of stock, but you got a nice sweatty tax obligation along with your additional shares. Didn't KMI used to have one share class that only paid stock distributions, so it was the same as a reinvested dividend, but without a tax obligation?

You would think that EVERY dividend paying stock would offer the tax free stock distribution choice.
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