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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?


To: BWAC who wrote (170635)8/16/2002 12:21:11 PM
From: TigerPaw  Respond to of 176387
 
taxed first when they are earnings of the corporation

If a company uses earnings to buy back shares, wasn't that taxed already too?

Money paid in dividends will probably be a benefit to shareholders. Money used for buy back programs is also likely to fund option grants or be frittered away in asset sales. Only a shareholder who knows when to sell will benefit. I am suspicious that the double-tax rhetoric is used to disguise what amounts to insider deals in many companies (this is not a specific Dell complaint).

TP