What RETURN OF CAPITAL DISTRIBUTION means: A return of a capital distribution is a distribution that is not from the corporation's earnings and profits. The distribution is not taxable, but reduces the basis of the stock. Distributions in excess of basis are taxed as capital gain.
- Definition Refund Feature:
- Dictionary An annuity has a refund feature if the annuitant and/or his or her survivors are guaranteed to receive an amount under the annuity at least eqaul to the amount paid for the annuity return of capital distribution.
- Definition Recharacterization:
- Dictionary Recharacterization is the process of changing the character of a traditional IRA contribution to a Roth IRA contribution or vice versa return of capital distribution.
- Definition Recovery Of Cost:
- Dictionary paid for income received--usually a factor only in income from sales of items purchased for resale, income from sales of property, and income from pensions or annuities. The portion of income that return of capital distribution.
- Definition Regulations:
- Dictionary Commissioner publishes his interpretation of the tax Code in the form of regulations. They do not have the force and effect of law except in those cases in which the law on a particular subject calls return of capital distribution.
How works Return of Capital Distribution meaning in Tah definition R .