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Old 1st December 2006 | 14:34
  #1138 (permalink)  
Re-Heat
 
Joined: Dec 1999
Posts: 1,606
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From: UK
It is a 10% dividend tax that has to be retained by the company on disbursement of the dividend. Hence, when you receive the dividend, you pay the additional 30%, or whatever your tax band required. Pension funds could previously reclaim this 10%, however they cannot now do so.

Value of the "tax" is equal to 10% of all dividends in the past 9 years, of company shares held by pension schemes. There are no other payments made that are taxed.

Sikeano - you make no sense and sound like a drunkard. BoNY have nothing to do with it - the tax regime is UK-based, and the matter in question is highly significant.
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