For those of you enjoying your dividend paying stocks be prepared for the beginning of a long drop unless the party in power renews the tax cuts. Today stocks trading at $100 and paying a $10 dividend return $8.50 after tax (15% tax.) On January 01, 2013 the dividend rate will rise some 43.4% because the 2001 Bush tax expires and in addition ObamaCare adds an additional 3.88% on all forms of investment income So come Jan 1 investors won't keep $8.50 but rather 43.4% less or $5.66 meaning a stock yield will move from 8.50% to 5.66% Experts predict investment returns will be lowered by 30%. That will teach us 1%. Oh I am a 99% Hmmmmmmmmmm
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