TY  - JOUR
AU  - Feenberg,Daniel R.
TI  - Does the Investment Interest Limitation Explain the Existence of Dividends?
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 530
PY  - 1982
Y2  - February 1982
UR  - http://www.nber.org/papers/w0530
L1  - http://www.nber.org/papers/w0530.pdf
N1  - Author contact info:
Daniel R. Feenberg
National Bureau of Economic Research
1050 Massachusetts Avenue
Cambridge, MA 02138
Tel: 617/588-0343
Fax: 617/868-2742
E-Mail: feenberg@nber.org
AB  - Miller and Scholes show that under certain conditions the Federal Income tax taxes dividend income at a rate no higher than the rate on capital gains. Tabulations of actual 1977 tax returns show that the special circumstances under which this can occur apply to less than 3% of dividend income and no significant role can be ascribed to their result in the determination of corporate dividend policy.
ER  -