Stock buyback tax: The 10 biggest spenders on their own shares
- The Democrats plan to introduce a 1% tax on stock buybacks as part of Joe Biden's climate and tax bill.
- S&P 500 companies spent over $280 billion buying back their own shares in the most recent quarter.
- Stock buybacks tend to be bullish for investor sentiment because they show a company has faith in itself.
The Democrats are set to introduce a 1% tax on stock buybacks as part of President Joe Biden's Inflation Reduction Act.
The tax - which has been supported in the past by high-profile Democrats including Senator Elizabeth Warren - is unlikely to be welcomed by investors.
A buyback is when a company repurchases its own shares in the marketplace. It returns money to investors by boosting the company's stock price, …
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