Wednesday, November 28, 2012

Fiscal Cliff Panic: Costco Special Cash Dividend: Retailer To Pay Shareholders Early To Avoid Fiscal Cliff Tax Boost




Costco will spend $3 billion to pay a special dividend of $7 per share next month ahead of higher tax rates that may kick in come January, HuffPo writes.

The Issaquah, Wash., company said Wednesday that the special dividend will be payable Dec. 18 to shareholders of record Dec. 10. In addition, Costco Wholesale Corp. will pay its regular quarterly dividend of 27.5 cents per share on Nov. 30 to shareholders of record as of Nov. 16…..

Newsflash for readers who’ve been hiding under a rock (you know who you are): Many companies are making special end-of-year dividend payments or moving up their quarterly payouts because investors will have to pay higher taxes on dividend income starting in 2013, unless Congress and President Barack Obama reach a compromise on taxes and government spending....

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