, we identify the dividend rate and the point in time of selling the shares as important value drivers. -- capital gains … taxation ; dividend policy ; tax neutrality ; timing decisions …

,760 firm-year observations. We prepared regression models for the dividend and investment ratio depending on the company … situation. The results contribute to the literature on firms' investment- and dividend-cash flow sensitivity and the order of … decisions: in a residual dividend policy, investment decisions are made first and the remaining profit is paid out as dividends …

This study examines the effect of the interaction of dividend taxes and capital gains taxes on the sale of stock. Using … a model of the new view of dividend taxation modified to incorporate realization-based capital gains and losses on stock … accelerate dividends. Moreover, the capital gains tax rate is endogenous to dividend policy (in addition to turnover rates …

We develop a dynamic general equilibrium model to study the impact of the 2003 dividend and capital gains tax cuts. In … adjustment costs, equity issuance costs, and collateral constraints. We show that when the dividend and capital gains tax cuts … are unexpected and permanent, dividend payments, equity issuance, and aggregate investment rise immediately. By contrast …