Corporations as shareholders Sample Clauses

Corporations as shareholders. If a domestic corporation receives a dividend it is tax-free, whereas 5 % of the dividend is treated as a flat non-deductible business ex- pense. The actual business expenses, howev- er, are fully deductible. The capital gains tax withheld on the disbursement as well as the solidarity surcharge accounted for can be cred- ited against the corporation tax payable by the corporation in Germany. Foreign legal persons are only subject to the limited corporation tax liability. That means that in Germany only the profits earned domestical- ly are subject to taxation. The taxation of these earnings as well as the amount of the tax nor- mally results from the respective double taxa- tion treaty with Germany. If a foreign company receives dividends from the German corpora- tion these dividends will generally be taxed in Germany and exempted from taxation by the other contracting state. Because of the with- held capital gains tax the German tax is com- pensated. The tax credit and/or reimbursement of the German tax abroad is defined by the respective national law or the respective dou- ble taxation treaty. However, according to parent-subsidiary di- rective, it is also possible not to withhold any capital tax by the German subsidiary, in case the European parent company applies for it at the German Federal Tax Office. Simplified Example of the tax burden on payment of dividends: Corporation Profit before tax - Trade tax (e.g. multiplier 400 %) - Corporation tax (15 % on 100,000.00 €) Profit after tax 100,000.00 € -14,000.00 € -15,000.00 € 71,000.00 € 100,000.00 € -14,000.00 € -15,000.00 € 71,000.00 € 100,000.00 € -14,000.00 € -15,000.00 € 71,000.00 € Shareholder Corporation Sole Proprietor (e.g. 45 %) Individual (e.g. 45 %) Dividend in the case of full distribution 71,000.00 € 71,000.00 € 71,000.00 € Thereof tax-free (95 % / 40 % / lump sum) -67,450.00 € -28,400.00 € 801.00 € Taxable (5 % / 60 % / Div. less lump sum) 3,550.00 € 42,600.00 € 70,199.00 € - Corp./Income/Cap.-tax (without trade (15 %) - 532.50 € (45 %) - 19,170.00 € (25 %) - 17,549.75 € tax) Dividend after tax 70,467.50 € 51,830.00 € 53,450.25 € Please note that for simplification solidarity surcharge (5.5 % of corporation tax respective income tax) has not been considered in the table above.
Sample 1
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Related to Corporations as shareholders

  • Rights as Shareholders The Holder shall not, by virtue hereof, be entitled to any rights of a shareholder in the Company, either at law or equity, and the rights of the Holder are limited to those expressed in this Warrant and are not enforceable against the Company except to the extent set forth herein.

  • Rights as Shareholder Until the issuance of the Shares (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company), no right to vote or receive dividends or any other rights as a shareholder shall exist with respect to the Optioned Stock, notwithstanding the exercise of the Option. The Shares shall be issued to the Optionee as soon as practicable after the Option is exercised. No adjustment shall be made for a dividend or other right for which the record date is prior to the date of issuance except as provided in Section 12 of the Plan.

  • No Rights as Shareholders This Warrant does not entitle the holder hereof to any voting rights or other rights as a shareholder of the Corporation prior to the exercise hereof.

  • Rights as Shareholders; Stock Transfers At the Effective Time, holders of Company Common Stock shall cease to be, and shall have no rights as, shareholders of the Company other than the right to receive the Merger Consideration provided under this Article III. After the Effective Time, there shall be no transfers on the stock transfer books of the Company of shares of Company Common Stock.

  • Approval of Shareholders The Trust will call a special meeting of the Acquired Fund Shareholders to consider and act upon this Agreement and to take all other appropriate action necessary to obtain approval of the transactions contemplated herein.

  • Rights as Stockholder Neither Participant nor any person claiming under or through Participant will have any of the rights or privileges of a stockholder of the Company in respect of any Shares deliverable hereunder unless and until certificates representing such Shares will have been issued, recorded on the records of the Company or its transfer agents or registrars, and delivered to Participant. After such issuance, recordation and delivery, Participant will have all the rights of a stockholder of the Company with respect to voting such Shares and receipt of dividends and distributions on such Shares.

  • No Rights as Stockholders Nothing contained in this Agreement shall be construed as conferring upon the Holders of Partnership Units any rights whatsoever as stockholders of the General Partner, including without limitation any right to receive dividends or other distributions made to stockholders of the General Partner or to vote or to consent or receive notice as stockholders in respect of any meeting of stockholders for the election of directors of the General Partner or any other matter.

  • Merger Without Meeting of Shareholders 10 ARTICLE II

  • Shareholders In case any Shareholder or former Shareholder shall be held to be personally liable solely by reason of his or her being or having been a Shareholder and not because of his or her acts or omissions or for some other reason, the Shareholder or former Shareholder (or his or her heirs, executors, administrators or other legal representatives or, in the case of a corporation or other entity, its corporate or other general successor) shall be entitled to be held harmless from and indemnified against all loss and expense arising from such liability.

  • Rights of Shareholders The Shares shall be personal property giving only the rights in this Declaration specifically set forth. The ownership of the Trust Property of every description and the right to conduct any business herein before described are vested exclusively in the Trustees, and the Shareholders shall have no interest therein other than the beneficial interest conferred by their Shares, and they shall have no right to call for any partition or division of any property, profits, rights or interests of the Trust nor can they be called upon to share or assume any losses of the Trust or, subject to the right of the Trustees to charge certain expenses directly to Shareholders, as provided in the last sentence of Section 3.8, suffer an assessment of any kind by virtue of their ownership of Shares. The Shares shall not entitle the holder to preference, preemptive, appraisal, conversion or exchange rights (except as specified in this Section 6.3, in Section 11.4 or as specified by the Trustees when creating the Shares, as in preferred shares).

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