1285UK company distributions
This section has no associated Explanatory Notes
(1)Corporation tax is not chargeable on dividends or other distributions of a UK resident company.
(2)Dividends and other distributions of a UK resident company are not taken into account as receipts in any calculation of income for corporation tax purposes.
(3)Subsection (1) does not prevent any dividends or other distributions from being taken into account in the calculation of chargeable gains.
(4)Subsections (1) and (2) are subject to any exceptions made in the Corporation Tax Acts.
(5)For exceptions see in particular—
(a)section 130 (traders receiving distributions etc), and
(b)section 219(4) and (4A) of FA 1994 (Lloyd’s underwriters: taxation of profits).