Corporations Speed Dividend Payments To Avoid Tax Hit

More companies are speeding up their tax preparations, in anticipation of higher tax rates in 2013.

It’s still possible Congress and the White House will reach a compromise to avert the so-called fiscal cliff. But that’s not a chance most businesses are willing to take. Dirk Moore is an attorney with Houston-based law firm Hughes Watters Askanase.

“A lot of corporations have sped up their process for declaring dividends and paying them out, so they get taxed under the lower rates of 2012.”

Oracle, Wal-Mart, and apparel company Hot Topic are just a few of those paying out fourth-quarter dividends before January 1st.

In addition, Moore says, partnerships are accelerating distribution payments that might otherwise have waited until 2013.


Andrew Schneider

Andrew Schneider

Business Reporter

Andrew Schneider joined News 88.7 in January 2011. Since arriving in Houston, he has reported on the many changes wrought on the region’s economy by the revolution in domestic oil and gas production. His non-energy reporting runs the gamut from white-collar crime to cattle ranching. His work has aired on...

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