CD 23B Returns of capital: shares repurchased under profit distribution plans
When this section applies


This section applies when a company has issued a share to a shareholder under a profit distribution plan and the shareholder exercises the option to have the share repurchased by the company.

Amount paid


The amount paid by the company to repurchase the share is not a dividend.

Defined in this Act: amount, company, dividend, pay, profit distribution plan, share, shareholder

Section CD 23B: inserted (with effect on 1 October 2012), on 2 November 2012, by section 9 of the Taxation (Annual Rates, Returns Filing, and Remedial Matters) Act 2012 (2012 No 88).