Irish Continental Group "dividends"

[Omega]

I've got some shares in ICG and receive "dividends" twice a year, as in the case of other companies. However, no tax is withheld and the gross amount is paid - why? I rang Computershare and thay said it was exempt for some reason. The accompanying document does not refer to the money being a dividend but a warrant for redeemable shares. It's a bit confusing. Does this mean that this is not taxable income and does not need to be declared in a tax return?

 

[ClubMan]

I would be very surprised if the money was not taxable at all. I reckon it must be assessable for either income or capital gains tax. Not sure which though.

 

[jpd]

The proceeds of redeemable shares are treated as a capital gain - you are deemed to have paid zero euro so the full amount received is taxable as a capital gain at 20% (less annual allowance of 1270) .

It should be declared on a CGT return and any tax due has to be paid by Oct 31, if proceeds received between Jan 1 and Sep 30, or by Jan 31 of following year, if received between Sep 30 and before Dec 31.

 

[Omega]

thanks