Corporation Tax Act 2010 section 781

Key definitions

Section 781 provides the key definitions used throughout the part of the Act dealing with manufactured payments.

• A "manufactured dividend" is a payment that mimics a real UK dividend, made under a stock lending or repo arrangement where the borrower compensates the lender for dividends received during the borrowing period.
• A "manufactured overseas dividend" serves the same purpose but relates to overseas securities, representing a payment equivalent to a dividend on shares in a non-UK company.
• These definitions, although introduced in their respective chapters (Chapter 2 for manufactured dividends and Chapter 3 for manufactured overseas dividends), apply consistently across the entire part of the Act.
• All part-wide definitions are gathered together in Chapter 6, providing a single reference point for interpreting the legislation on manufactured payments.