Commentary

D6.244 Stock dividends—non-corporate recipient: charge to capital gains tax

Corporate tax
Corporate tax | Commentary

D6.244 Stock dividends—non-corporate recipient: charge to capital gains tax

Corporate tax | Commentary

D6.244 Stock dividends—non-corporate recipient: charge to capital gains tax

For capital gains purposes, a stock dividend is deemed to be acquired for a consideration equal to the cash alternative (before grossing-up); D6.2431.

The new shares are not added to a pool of existing holdings, and disposals are identified in accordance with the rules described in C2.706. For the purpose of computing indexation allowance (where relevant; see C2.301), the consideration deemed to have been given for the new shares is treated as incurred on the day on which the holder elected to forgo the dividend or, in

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