We generally think that taxes lower returns, which means that after tax returns are lower than pretax

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We generally think that taxes lower returns, which means that after tax returns are lower than pretax returns. Is this always true, or can you provide counterexamples?

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Taxes And Business Strategy A Planning Approach

ISBN: 9780132752671

5th Edition

Authors: Myron Scholes, Mark Wolfson, Merle Erickson, Michelle Hanlon

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Question Posted: Aug 06, 2015 02:18 AM

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We generally think that taxes lower returns, which means that after tax returns are lower than pretax

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Aftertax rates of return are not always lower than pretax rates of return For example for a tax exempt municipal bond the aftertax rate of return equals the pretax rate ...View the full answer

Taxes And Business Strategy A Planning Approach

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