qualifying distribution

Formerly, a distribution from a company resulting in advance corporation tax (ACT) being paid. Qualifying distributions included dividends and distributions from any company assets to shareholders (except for capital repayments). In the UK, the requirement for payment of ACT was abolished from 1 April 1999.

Accounting dictionary. 2014.

Look at other dictionaries:

  • qualifying distribution — A type of distribution, the making of which generally caused a company with surplus ACT (advance corporation tax) to be required to account for shadow ACT. ACT has been abolished in relation to distributions made after 5 April 1999. Related links …   Law dictionary

  • qualifying distribution — Formerly, a distribution from a company that resulted in advance corporation tax being paid. Qualifying distributions included dividends and distributions from any company assets to shareholders (except for capital repayments). Advance… …   Big dictionary of business and management

  • qualifying distribution — /ˌkwɒlɪfaɪɪŋ ˌdɪstrɪ bju:ʃ(ə)n/ noun a payment of a dividend to a shareholder, on which advance corporation tax is paid …   Dictionary of banking and finance

  • act — 1 n 1 a: something done by a person in accordance with his or her free will a tortious act see also actus reus b: the failure to do something that one has a legal duty to do – called also negative act; 2 a …   Law dictionary

  • advance corporation tax — When a company paid a dividend it also paid a percentage of the amount of the distribution to the Inland Revenue as ACT. The company could then set off the amount of ACT against its liability to mainstream corporation tax. ACT was abolished on… …   Law dictionary

  • shadow ACT — The system adopted to determine the extent to which surplus ACT carried forward (post 5 April 1999) can be set off against corporation tax arising on or after 6 April 1999. Although no actual advance corporation tax (ACT) arises on distributions… …   Law dictionary

  • КВАЛИФИЦИРОВАННОЕ РАСПРЕДЕЛЕНИЕ — (qualifying distribution) Наделение члена компании дивидендами или другими ее активами, с которых, согласно Закону о подоходном налоге и налоге на корпорации 1988 г., следует платить авансовый налог на корпорации. Финансы. Толковый словарь. 2 е… …   Финансовый словарь

  • advance corporation tax — ACT Formerly, an advance payment of corporation tax payable when a company made a qualifying distribution. ACT was abolished on 6 April 1999, although rules exist to permit the recovery of payments prior to this date. Larger companies must now… …   Accounting dictionary

  • advance corporation tax — ACT Formerly, an advance payment of corporation tax, payable when a company made a qualifying distribution ACT paid in an accounting period could be set against the gross corporation tax due for the period. ACT was abolished in 1999. Larger… …   Big dictionary of business and management

  • imputation system — Formerly, the UK system in which a company making a qualifying distribution paid advance corporation tax on the dividend paid; this amount could then be set against the gross corporation tax for the accounting period. The shareholder receiving… …   Big dictionary of business and management

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