Fewer Paying Taxes on Investments
Posted at 12:45 p.m. on Dec. 3, 2012
The New York Times notes that while markets are worried about the prospects of increases to taxes on dividends and capital gains, “a dwindling number of investors are subject to the taxes on investment gains that are set to rise at the end of the year.”
“For example, only 14.7 percent of American households have mutual funds in taxable accounts, down from as high as 23.9 percent in 2001… many economists agree than an increasing proportion of the entire equities market is now held by retirement investors whose holdings are not subject to current tax law; by foreign investors who don’t pay American taxes, or by institutional investors like insurance companies and pension funds that are exempt from taxes.”
