imputation system

imputation system

n
(Banking & Finance) a former taxation system in which some, or all, of the corporation tax on a company was treated as a tax credit on account of the income tax paid by its shareholders on their dividends; discontinued from 1999. See also advance corporation tax
References in periodicals archive ?
TARIQ HUSSAIN: Under the Simplified Imputation System, a company that receives dividend is treated in a very similar manner to an individual receiving a franked distribution.
Some countries, such as Australia, Canada, and the UK, have removed the double taxation and adopted a dividend imputation system where the amount of tax charged at the firm's level will be credited back to the stockholders when they receive cash dividends.
From the point of view of corporate funding, the neutrality of the system is enhanced by an imputation system.
the Finnish imputation system because it failed to provide tax credits
Norway has a full imputation system to avoid double taxation of dividends.
The imputation system approach to double taxation is well tested.
Many countries use an imputation system to eliminate the double tax on dividends found in a classical system.
Simplified imputation arrangements, to streamline the operation of the existing imputation system.
In this context, the imputation system for distributed profits, which discriminates against foreign shareholders, is increasingly questioned.
A new imputation system was created to estimate the missing data.
The commission was also asked to reconsider Germany's imputation system for corporate taxes.
i) The imputation system applies only to dividends paid from corporate profits on which Australian corporate tax has been paid.