CTM40513 - Particular bodies: registered societies: payments not distributions
CTA10/S1055 and S1056
The following are specifically not treated as distributions for CT purposes:
Interest and share dividends: CTA10/S1055
This applies to
바카라 사이트¢ interest paid by a registered society in respect of any mortgage, loan, loan stock or deposit, and
바카라 사이트¢ any sum paid by way of dividend, bonus, interest or otherwise
바카라 사이트¢ that is paid to a shareholder in a registered society, and
바카라 사이트¢ is paid by reference to the shareholder바카라 사이트™s holding in the society바카라 사이트™s capital.
Both types of payment are treated as interest paid under a loan relationship, see CTM40565 and are paid gross.
Dividend and bonus relating to transactions: CTA10/S1056
This applies to
바카라 사이트¢ a dividend or bonus granted by a registered society, and
바카라 사이트¢ CTA09/S132 (see CTM40515) allows the dividend or bonus to be deducted in computing trading income of the society.
See CTM405890 regarding agricultural and fishing co-operatives.
For details of the treatment of all of these types of payment in the hands of the recipient, see CTM40530 and for details of the returns required to be made by the society in respect of interest and share dividends, see CTM40525.