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The kind of income we'd expect to see surging if wealth was hidden would be from capital — dividends, interest, etc.
In any event, for banks that are short of capital, dividends to share-holders are a luxury they cannot afford.
Back in 1929, 70% of the income of the extremely rich (the top 0.01%) came from capital (dividends, rent and interest).
By profits, Tier-1 capital, dividends and market value they now account for a quarter to half of the global banking industry.
The difference between the bottom line (wage income) and the top line (total income) is accounted for by income from capital — dividends, interest payments, and capital gains.
In a similar way, equalising the rates on capital, dividends and ordinary income would make it possible to lower America's corporate tax rate, currently one of the rich world's highest.The result would be lower rates, more revenue and a more efficient and progressive tax system.
Similar(52)
Mr Obama would raise taxes on capital gains, dividends and incomes over $250,000 a year.
Both reports called for equal taxes on capital gains, dividends and ordinary income like wages.
But he sharply criticized higher rates on capital gains, dividends and the highest incomes.
Other types of income, like capital gains, dividends and interest, would be exempt from taxation.
Hence their perennial efforts to lower taxes on capital gains, dividends and corporate profits.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com