What company distributions mean
Company distributions mean any value taken out of a company by a Jersey resident shareholder that is not effectively 'paid for' by the shareholder by putting any new consideration back into the company.
A company distribution could include:
- a dividend paid (income or capital)
- a repayment of share capital
- a loan repayment
Who does this apply to?
Whether or not the distribution is taxed on the Jersey resident shareholder depends on a combination of circumstances including:
- the nature of the distribution, and
- if the shareholder is entitled to a share of the company's taxable profits taxed at a rate lower than 20% (the specified profits)
Download Comptroller's guide to the taxation of company distributions - version two (size 1,45mb)