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The tax debate percolating in D.C. could have a big impact on stock market returns, a J.P....

The tax debate percolating in D.C. could have a big impact on stock market returns, a J.P. Morgan analyst says. A Democrat idea to hike the marginal high-income tax rate and capital gains tax rate by 5% and the dividend tax rate by 24.5% would hit stocks by an estimated 7%-15%, while a Republican idea to cut the corporate rate by up to 10% would boost stocks 7%-14%.
Comments (19)
  • GaltMachine
    , contributor
    Comments (1135) | Send Message
     
    If true, it would seem rather obvious who you should vote for :)
    24 Jul 2012, 06:59 PM Reply Like
  • Terry330
    , contributor
    Comments (866) | Send Message
     
    Most working American families don't buy the hardliner GOP talking point that another giveaway to wealthy will help them.
    24 Jul 2012, 07:10 PM Reply Like
  • The Patriot
    , contributor
    Comments (320) | Send Message
     
    Most working families dont buy the hardliner DNC talking point that higher taxes on the productive, job creators will help them. It will follow the hundreds of billions already spent - down the toilet.
    24 Jul 2012, 07:23 PM Reply Like
  • montanamark
    , contributor
    Comments (1434) | Send Message
     
    would you like a steak and lobster dinner or a smack in the face and a kick in the groin
    24 Jul 2012, 07:03 PM Reply Like
  • brachiosaurus
    , contributor
    Comments (237) | Send Message
     
    They should do both! Or even better cut the corporate tax rate to zero and set all dividend and cap gains rates to ones regular income tax rate
    24 Jul 2012, 07:14 PM Reply Like
  • brachiosaurus
    , contributor
    Comments (237) | Send Message
     
    honestly, a reasonable compromise would be to do both the Rep and Dem ideas. They are both a step in the right direction.
    24 Jul 2012, 07:27 PM Reply Like
  • Neil459
    , contributor
    Comments (2644) | Send Message
     
    Both are oversimplifications. But one thing is true, without government cutbacks the stock market is going to tank in the next few years. There are no choices, we simply don't have the money without major inflation. And that will kill businesses as it drives their costs up faster than the market will allow.

     

    So Terry may feel good pushing some more propaganda, but that won't change the facts. We have to cut government spending.
    24 Jul 2012, 07:17 PM Reply Like
  • Terry330
    , contributor
    Comments (866) | Send Message
     
    Does government spending include 800 billion dollar military. What about border patrol, food inspectors. Let me guess you are talking about senors and young children.
    24 Jul 2012, 07:25 PM Reply Like
  • Neil459
    , contributor
    Comments (2644) | Send Message
     
    "Does government spending include 800 billion dollar military. What about border patrol, food inspectors. Let me guess you are talking about senors and young children."

     

    You can't be that dumb. You must be being paid to spread that propaganda. Of course people in need, need some government help. No one would argue that, except you against your theoretical evil conservative.

     

    The problem is that the government supports millions of people that are not in need, but instead are just lazy and like the idea of getting paid for their vote and absolutely nothing else. Or they work in government and are getting paid two or three times what private business would pay for the same work. Or they have retirement that promises them nearly 100% of their pay from 55 to death (which no private business can afford).

     

    All this simply because there was no one to say 'no'. Thats why government needs to be stripped back to its bare essentials. It has been handout after handout for years. We can no longer afford the handouts.
    25 Jul 2012, 06:36 PM Reply Like
  • davidbdc
    , contributor
    Comments (3141) | Send Message
     
    How about we simply make a flat tax rate of 15% for every and all types of income. NO deductions. And zero ability for Congress to raise the rate unless the USA is invaded.

     

    A week is 7 days. 15% is basically one day for the government. State and local taxes and fees are probably around another 15%. Thats two days I work for the "good"of society, and five I work for my family. That seems more than "fair" to me.

     

    We have to raise revenue for the sole purpose of paying off the 16 Trillion we owe. We don't need another dime for the idiots in Washington DC and their special interest sidekicks and public unions.
    24 Jul 2012, 07:19 PM Reply Like
  • Terry330
    , contributor
    Comments (866) | Send Message
     
    58 years of tax cuts and wars have a very high price,for the bottom 97%.

     

    http://bit.ly/5BsyVl

     

    Debtclock in real time.
    24 Jul 2012, 07:31 PM Reply Like
  • davidbdc
    , contributor
    Comments (3141) | Send Message
     
    I thought it was the 99%?? And we just needed to tax the 1%???

     

    Now the taxable population has already tripled????????

     

    I guess next month its the 95%, October will bring the 90% and by 2013 it will be the 75%....... eventually ending somewhere around 45% which seems to be the foundation of the coalition of those dependent on government, bureaucrats, the elites, and the few true believers in central planning of everyone's lives.
    24 Jul 2012, 11:51 PM Reply Like
  • montanamark
    , contributor
    Comments (1434) | Send Message
     
    The middle class pays little or no income tax. The top 10% pay 71% of the tax
    http://bit.ly/NX8jIR
    24 Jul 2012, 08:22 PM Reply Like
  • obstacle2
    , contributor
    Comments (12) | Send Message
     
    Terry,

     

    You act like everyone that would want these taxes reduced is pro war. Save the lines to score political points for the rally.

     

    How is taxing dividends at a super high (double taxed) rate instead of a rate above that a handout? Paying no taxes and demanding people who pay tons of taxes to put more in the pot would seem a lot more like looking for a handout.

     

    It probably helps the economy as much as forcing companies to keep money abroad with high taxes that they could invest in the U.S. or distribute as dividends.
    24 Jul 2012, 09:12 PM Reply Like
  • kmi
    , contributor
    Comments (3982) | Send Message
     
    So let me see if I got this right.

     

    Dems want to raise taxes to balance the budget and get our so-called fiscal house in order. And are willing to trigger a recession and some financial pain in order to do it.

     

    Reps want to cut taxes in order to encourage growth to get us out of this potentially deflationary Japan-like malaise everyone sees coming. And are willing to ignore the growth in US debt and debt service that will result from such policy figuring we can kick the can down the road to a point in time when... ?
    24 Jul 2012, 10:01 PM Reply Like
  • The Patriot
    , contributor
    Comments (320) | Send Message
     
    "Dems want to raise taxes to balance the budget and get our so-called fiscal house in order" Yeah right. The extra taxes that are raised dont put a dent in the debt. It wont even pay for the extra spending that has been added in the last few years. Govt is incapable of wisely spending the money that is currently received. I have no desire to give them more.
    24 Jul 2012, 10:24 PM Reply Like
  • kmi
    , contributor
    Comments (3982) | Send Message
     
    Ah. So you fall in the camp of 'deficits don't matter anymore"?
    24 Jul 2012, 10:26 PM Reply Like
  • The Patriot
    , contributor
    Comments (320) | Send Message
     
    Not at all. Deficits can be reduced without raising taxes. Pro growth policies would fill the coffers much quicker than a tax increase. Wouldnt hurt to also broaden the tax paying base. I am a supporter of the Fair tax.
    24 Jul 2012, 10:52 PM Reply Like
  • kmi
    , contributor
    Comments (3982) | Send Message
     
    Ok, I got it. You don't think deficits matter -right now- because if we put into place the right pro-growth policies the coffers will grow.

     

    Eventually we'll stop borrowing and one day our elected representatives may have enough money to pay down the debt.

     

    I can't say agree 100% because it sounds like kicking the can to me, which I don't think is a good idea since the can constantly gets bigger, but it's an opinion I guess.
    25 Jul 2012, 11:36 AM Reply Like
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