Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (11) | Ignore Thread Prev Thread | Prev | Next | Next Thread
Author: blairsp Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 120820  
Subject: Fiscal cliff and dividend paying stocks Date: 12/22/2012 5:59 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
I haven't found a discussion of the fiscal cliff on the other boards so I hope I'm in the right place.

It seems to me letting the tax rate on dividends increase would discourage investment in dividend paying stocks. These value stocks have been a part of my portfolio for years but now I'm seriously starting to think of selling all shares in all stocks, hang onto the cash until after tax season then reinvest elsewhere.

When thinking of reinvesting I've been told to purchase the same stocks in my RothIRA, I have some dividend stocks there today but not all. This concerns me.

I heard comments that even the RothIRA is subject to change with the Government's focus on collecting more taxes.

So what are other people doing? My current brokerage account has a mixture of gains and losses so I think selling all would produce a very small taxable gain. I just don't like the idea that I have to stop using one of the vehicles I have been relying on for growth toward retirement.

Any thoughts on what to do in 2012 to minimize the tax impact and have a safe investment plan for the future?

Thanks, Steve
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (11) | Ignore Thread Prev Thread | Prev | Next | Next Thread

Announcements

Disclaimer:
In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
2013 Feste Award Voting Begins!
Who will win the 2013 Feste Award? Vote now for the Fool that most exemplifies the Fool Community mission of Learning Together!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Tax Strategies

TMFPMarti-Feeling Good
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement