Dividends are taxed, as with all other taxable profit, at the company level.

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Starbucks has reported a taxable profit only once in its 15 years of operating in the UK, often posting losses.

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Stockbrokers would have to report what a customer paid for his stock, not just what he sold it for--in other words, his or her taxable profit.

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The IRS also denied them any basis in the stocks they sold (they say at a loss) treating all the proceeds from the stock sales as a taxable profit to them.

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Beginning next year a company can deduct 3% of its profit from eligible "U.S. production activities" from its taxable income.

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By default, that would make his venture for profit for purposes of IRS (whether he wants to make money or not) and therefore, taxable.

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