Part 23Company distributions

Chapter 3Matters which are not distributions

Industrial and provident society payments

1056Dividend or bonus relating to transactions

1

This section applies if—

a

a dividend or bonus is granted by a registered industrial and provident society, and

b

section 132 of CTA 2009 (dividends etc relating to transactions with an industrial and provident society) allows the sum representing the dividend or bonus to be deducted in calculating the profits of a trade.

2

The dividend, or the bonus, is not a distribution for the purposes of the Corporation Tax Acts.