Mart Resources Inc MAUXF

RE: RE: RE: RE: RE: RE: Good Call Oullins

[parapooper]

there are other reasons to sell a stock if they declare a dividend. For instance I have sold stocks as soon as they declared a dividend because receiving dividend income would force me to file a tax return.
Furthermore, I live in Switzerland, where I pay no capital gains tax but 35% or so tax on dividends which brings me to >50% taxation with canadian taxes included (unless I want the hassle of filing to get the canadian taxes partially reimbursed).

Share buybacks would thus provide me with 2x the value of dividends and that's not even including the losses on spread and fees that I take when I reinvest the dividends.

Share buybacks also have side benefits such as lifting the nominal share price into regions where a larger pool of investors buy them and making the chart of the stock look better.

I find dividends pretty pointless  since share buybacks should give you the same amount of additional capital and it is your choice if and when you want it in cash. If I invest my money in a company I do it because I think they can multiply it faster than I can, so it's illogical to want them to give money back to me. If I want money I can always get it by selling their stock.
Now that I think about it, share buybacks with the same amounts of capital as dividends should actually give you more additional capital because the company can time the share buybacks to buy stock when they find it especially undervalued - sort of legal insider trading.

Not to mention that Mart could use the cash for more sensible things than dividends such as pipeline building, drilling or geographic diversification.

The only possible advantage of dividends I could possibly see is favorable taxation in some jurisdictions, although I am not aware of any such jurisdictions.