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206 what is tax efficiency part 3

Dev Raga Personal Finance

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Investing in Investment Bonds

Investment bonds are like any other investment, and it's a structure in investment. When they have earnings within that investment bond, the tax paid on those earnings caps out at the corporate tax rate of 30 %. If your marginal tax rate is less than 30%, then it may not make much sense to invest in investment bonds. But there are a couple of ways that you can probably wing it, and i will talk about them very briefly in this episode. It's usually for people that are looking for long term growth and earnings.

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