Introduction Summary
1.Section 40 and Schedule 19 provide for changes to the system of taxation for individuals who own foreign shares. Individuals in receipt of dividends from UK-resident companies or who have small shareholdings (less than 10 per cent) in non-UK resident companies are entitled under current law to a non-payable dividend tax credit.
2.The section and Schedule provide that individuals with shareholdings of 10 per cent or greater in non-UK resident companies will also be entitled to a non-payable tax credit, subject to certain conditions.