Tax technicality

8 January 2003

Forget the ideological benefit. No more double taxation of dividends absolves Gates, Ellison et al from huge personal tax liabilities. See how they could benefit from a 40% dividend payout rate, let alone a special return of cash to shareholders.

This content is for Subscribers only

Context News

Oracle's board is likely to reconsider its dividend policy in the light of President George Bush's proposal to eliminate the tax paid on dividends, the US software giant's chief financial officer, Jeffrey Henley, said on Tuesday.

Breakingviews calculated what leading technology executives might receive if their companies paid regular or special dividends.

The calculations were based on beneficial share ownership figures disclosed in the companies' most recent annual proxy statements. Current ownership figures may vary. For special dividends, we used the cash and investments total disclosed in the companies' most recently published balance sheets.

Email a friend

Please complete the form below.

Required fields *