After-Tax Return

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Dictionary Says

Definition of 'After-Tax Return'

The return on an investment including all income received and capital gains, calculated by taking expected or paid income taxes into account. Generally reserved for returns on positions that have been closed out or sold, after-tax returns are also used to evaluate the after-tax yields of municipal versus corporate and government bonds because municipals are free from federal income taxes.
Investopedia Says

Investopedia explains 'After-Tax Return'

After-tax returns serve to level the playing field, breaking down performance data into “real life” form for the individual investor. Investors in the highest tax brackets will often look to investments, such as municipals and high-yielding stocks (dividends are taxed at a lower rate than capital gains) to aid in boosting after-tax returns. People who trade stocks frequently are subject to the highest tax rates on capital gains, and after-tax returns will suffer unless the investor makes very profitable trades. 


Search results for

'After-Tax Return'

  • After-Tax Balance Rules For Retirement Accounts

    http://www.investopedia.com/articles/retirement/05/aftertaxassets.asp
    ... As always, be sure to consult your tax professional for assistance to make sure
    that your after-tax assets are treated correctly on your tax return. ...

  • Tax-Loss Harvesting: Reduce Investment Losses

    http://www.investopedia.com/articles/taxes/08/tax-loss-harvesting.asp
    ... Had you done nothing except buy-and-hold in the aforementioned scenario, you would
    have an after-tax return of 9%, represented by an 8% unrealized investment ...

  • CFA Level 1 Study Guide - Fixed Income Investments - After Tax ...

    http://www.investopedia.com/exam-guide/cfa-level-1/fixed-income-investments/after-tax-yield-taxable-security.asp
    ... and its Effects on a Project's Expected Rate of Return; 11.23 Financial ... Intramarket
    Sector Spreads; 14.32 Options and their Benefits; 14.33 After Tax Yield of a ...

  • Agency Bonds: Limited Risk And Higher Return

    http://www.investopedia.com/articles/bonds/07/agency_bonds.asp
    ... After-Tax Cash Flow, $3.54, $103.54, 3.54%. ... due to the deduction of state taxes If
    the bond we purchased is state-tax free, our internal rate of return (IRR) net ...

  • To Invest Or To Reduce Debt, That's The Question

    http://www.investopedia.com/articles/pf/08/invest-reduce-debt.asp
    ... Investment Options From a numbers perspective, your decision should be based on
    your after-tax cost of borrowing versus your after-tax return on investing. ...

  • Avoid Tricky Tax Issues On Municipal Bonds

    http://www.investopedia.com/articles/06/munibond.asp
    ... At the time of purchase, the buyer must recognize whether the bond is subject to
    de minimis, otherwise, the after-tax return could be substantially less than ...

  • EQT Corporation Bets Big On The Marcellus Shale

    http://stocks.investopedia.com/stock-analysis/2011/EQT-Corporation-Bets-Big-On-The-Marcellus-Shale-EQT-CNX1219.aspx
    ... 9.3 Tcfe. The company also estimates that Marcellus Shale wells will provide
    the company a 41% after tax return. The company uses ...

  • Weave Your Own Retirement Safety Net

    http://www.investopedia.com/articles/retirement/07/income-generation.asp
    ... Consider that the after-tax return on a CD paying 5% interest is essentially cut
    to 4.25% if you're in the 15% income tax bracket and 3.75% if you're in the 25 ...

  • Minimize Taxes With Asset Location

    http://www.investopedia.com/articles/tax/08/asset-location.asp
    ... same asset allocation in each account ignores the tax benefit of properly placing
    securities in the type of account that will assure the best after-tax return. ...

  • ProAssurance Makes Doctors And Shareholders Happy

    http://stocks.investopedia.com/stock-analysis/2011/ProAssurance-Makes-Doctors-And-Shareholders-Happy-PRA-PTP-FPIC-MCY-SIGI0119.aspx
    ... In the case of ProAssurance, a 5% after-tax return on investments per share in fiscal
    2009 would have been $5.91, which based on book value per share of $52.59 ...

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