Directors and the Compnay - The Tax Implications

Article Abstract:

The directors' tax position in relation to the company is complicated. Under the current tax legislation, directors are employees of their companies. Under the Company Law, directors and their companies are treated as separate legal persons. In a close company, benefits paid to participants are treated as distributions as per Schedule E. Under ICTA 1970, Section 286, a loan made otherwise than in the ordinary course of a business carried on by it, gives rise to tax charge equivalent to act on the loan. Section 286, excludes loans made to director or employee of a close company. Directors' remuneration is assessable for the year in which it is earned, not in the year it is paid. Relief is given in respect of interest paid on loan to purchase shares in, or for making a loan to a close company by a director. Because of the special position of directors, the tax legislation must treat them differently.

Interpretation and construction, Officials and employees, Tax law, Corporations

---

The effect of liability exposure on the actions of directors and officers of major U.S. firms

Article Abstract:

A survey was conducted to determine the impact of liability risks on the actions of CEOs. Results showed that majority of respondents have taken preventive steps to reduce threats of liability. These include keeping board members well-informed, allowing the participation of managers and board members in decision-making as well as changing company policies to increase accountability.

Research, Management, Corporate directors, Employer liability, Corporate governance, Chief executive officers

---

The capital structure implications of pursuing a strategy of innovation

Article Abstract:

Firms based on a strategy of innovation should maintain slack in their capital assets.

Economic aspects, Creative ability, Creativity, Capital, Structure

Similar abstracts:

• Abstracts: Incorporation: a way round the tax traps. The effect of social change in the U.K. Incorporation: Muddled Rules Ripe for Change
• Abstracts: Evidence of strategic effects in the modulation of orienting of attention. Mild body cooling impairs attention via distraction from skin cooling
• Abstracts: Lucent's Venture Unit Prospers Amid Company Pain. The myth of the unique decomposability: specializing the Herfindahl and entropy measures?
• Abstracts: Personalized Pensions - The Vested Interest. Non-vested options not income at grant - Reg. valid. Interest rates, income taxes and anticipated inflation: some new evidence
• Abstracts: Coping With the New Maze of Medical Costs. The capital investments maze. Coping with termination trauma

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.