Market leading insight for tax experts
View online issue

A Classical Education On Dividend Taxation

John Endacott Tax Partner at Winter Rule discusses the current tax policy towards small company taxation and dividends
Forty years ago James Callaghan became Chancellor of the Exchequer and introduced corporation tax and capital gains tax in order to try and make the tax system in this country promote economic growth. The underlying belief was that economic growth would only come from the reinvestment of profits by companies whilst dividends and capital gains were enjoyed by the rich to the detriment of society. As a consequence the new system subjected distributed profits to additional tax.
This was a return to the post-war tax regime that had been repealed in 1958. Hugh Dalton developed this approach when corporate taxation was introduced in 1947 and it followed on from some principles...
If you are not a subscriber, subscribe now to read this content.
If you are already a subscriber, sign in
Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this article in full.