Medtronic Stock Anyone? be prepared for Capital Gains
Here is an interesting article. It actually lists my neighbor, who I speak with quite often about retirement. She is 83, and still mows her 1 ac lawn with a 20" push mower.
If you have Medronic stock, like she does, it means a capital gains huge tax hit. Of course, the executives get their taxes paid by the company...
She gets a $100K tax hit. She is pretty well off, and lives a pretty simple life style. This will shave her retirement assets quite a bit.
If you are a holder of Medronic, I am sure you are aware of this already. If not, it could impact you severely, especially if you planned on living off the dividends.
This is all because tax rates in Ireland are much lower than the USA. It is an inversion scheme.
Medtronic's Covidien deal would mean tax hit for long-term investors - TwinCities.com
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FIRE no later than 7/5/2016 at 56 (done), securing '16 401K match (done), getting '15 401K match (done), LTI Bonus (done), Perf bonus (done), maxing out 401K (done), picking up 1,000 hours to get another year of pension (done), July 1st benefits (vacation day, healthcare) (done), July 4th holiday. 0 days left. (done) OFFICIALLY RETIRED 7/5/2016!!
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