Companies should be allowed to deduct dividend payments from their taxable income just like interest payments are deductible, and there should be one flat tax rate for interest and dividend income.

FORBES: Tax Code Rewards Debt, Penalizes Dividends

Then there will most likely be a hike in dividend and interest income tax rates as well as capital gains.

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His proposal scraps the entire existing code, including capital gains, interest and dividend income, the estate tax, and the payroll tax that funds Social Security and Medicare.

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Under the Conservative proposals, they will continue to pay existing rates of tax on both interest and dividend income.

ECONOMIST: Tax cuts