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Post by Mr. Meyer on Jan 27, 2016 17:24:56 GMT
How do taxes affect the rate of return on investments?
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Post by mckenna on Jan 28, 2016 18:30:40 GMT
first of all, taxes reduce your investable income, which is the amount of income you can or would invest. when you pay taxes before you invest, you have less money to invest into stock market and other investments. secondly, the taxes you pay after you calculate gains reduce your real returns. the earnings you receive from investing are known as capital gains therefore the taxes you pay are called capital gains taxes.
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Post by hgore on Jan 29, 2016 16:38:36 GMT
It can take money away that the interest would have earned
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