TSEM3240 – Trust income and gains: capital items that are income for tax purposes – sales of foreign dividend coupons

ITTOIA/S570

The proceeds from the sale of foreign dividend coupons are chargeable to income tax at the rate applicable to trusts. Coupons include warrants (a document which certifies that the holder is entitled to shares as stated in it) and bills of exchange in payment for dividends payable on shares or securities issued outside the UK.