Tax Advantage

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Tax Advantage

Any act or structure that reduces the amount of tax one pays. For example, one may derive a tax advantage by investing in a tax-exempt bond as opposed to a corporate bond (on which one pays taxes). Numerous tax advantages are built into tax codes in order to encourage certain behavior. For example, in the United States, one derives a tax advantage from writing off the interest on one's mortgage. This structure exists to encourage homeownership.
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A diversified, closed-end management investment company, the fund's investment objective is to provide a high level of after-tax total return consisting primarily of tax-advantaged dividend income and capital appreciation.
The survey also found that 68% of nonretirees indicate that a 401(k), individual retirement account (IRA), Keogh or other tax-advantaged retirement savings account will be a major source of their retirement income-the highest percentage of the five alternatives offered.
These include a traditional 401(k), Roth 401(k), employer contributions through a profit sharing plan, and a rollover from another tax-advantaged account, such as an IRA, rollover IRA or defined benefit plan.
A diversified, closed-end fund, Eaton Vance Tax-Advantaged Dividend Income Fund aims to provide a high level of after-tax total return of tax-advantaged dividend income and capital appreciation by investing its assets in dividend-paying common and preferred stocks.
An exodus of rank-and-file employees from the qualified retirement plan to the HSA can limit the amount of tax-advantaged retirement funds that highly compensated employees can set aside.
Specifically, taxpayers will want more equities in taxable accounts (to take advantage of the lower capital gain and dividend rates) and more taxable bonds in tax-advantaged accounts (sheltering those payouts from tax until withdrawal).
You can see this in the difference between funding for management employees under a 501 (c) (9) trust and the more tax-advantaged funding vehicles for collectively bargained employees.
com, provide benefit managers free tools that can be incorporated into their existing open enrollment and health plan education programs to help employees determine if a consumer-directed health plan and a tax-advantaged health care account is the right option for their health care needs.
Eaton Vance Tax-Advantaged Bond and Option Strategies Fund's (NYSE:EXD) board of trustees authorised the company's plan to make quarterly cash distributions to common shareholders of USD0.
With TABS now part of Eaton Vance, we have a breadth of capabilities in tax-advantaged income investing unmatched by anyone in the industry.
But today, 529 college savings plans and separately managed accounts are making inroads on annuities in the market for tax-advantaged products funded with already taxed dollars, and they are dominated by major stock brokerages and mutual funds.
Other looming issues include convergence, consolidation, demutualizations and tax-advantaged products-an area where sales have been hurt because of uncertainty over the proposed phase--out of the estate tax, he said.