Chapter 18: Share and Loan Capital

Question 1

A Tax Perspective

Ordinary Share Capital is Defined as:

Under s.1119 CTA 2010

Answer 1

All Issued Share Capital Except Shares Which Only Have a Right to a Fixed Dividend.

Question 2

Allotment and Issue of Shares

When is Stamp Tax Realised as Paid?

Answer 2

When a Physical Revenue Revnue Stamp is Present.

Question 3

Allotment and Issue of Shares

Stock Transfer Forms are Completed to:

Answer 3

Remove/Enter the Vendor’s/Purchaser’s Name From the Register of Members.

Question 4

Allotment and Issue of Shares

Stamp Tax Paid on Paperless Transactions is Called:

Answer 4

Stamp Duty Reserve Tax.

Question 5

Allotment and Issue of Shares

Stamp Tax is Not Payable in the Following Transactions:

Answer 5

• Gifts on Divorce
• Purchases Not Exceeding £1,000

Question 6

Dividends

Dividends Paid in Non-Cash Forms are Called:

Answer 6

Dividends in Specie.