Question: 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

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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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 full answer

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