Assume that the tax on dividends and the tax on capital gains is the same.All else equal,what would a prudent investor prefer?

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Quizplus · Accepted Answer

Given that taxes on dividends and capital gains are the same, the key advantage of capital gains is the ability to defer taxes until the gains are realized. This deferral allows the investment to potentially grow more over time before taxes are paid, which can be a more tax-efficient strategy for investors looking to maximize their returns.

Assume That the Tax on Dividends and the Tax on Capital