Exempt ABGH distributions

Franked investment income/Exempt ABGH distributions. This screen is accessed via the Data input tab within the tax return. Use this grid to enter the amount of franked investment income received by the company during the accounting period.

Franked investment income is the total of the amount of distribution in respect of which the company is entitled to a tax credit and the amount of the tax credit (S1126 CTA 2010).

Your computations should include a detailed calculation of this figure. Exclude distributions made by certain other companies in the same group or by certain consortia company (S32(2) CTA 2010).

The term ‘franked investment income’ has been repealed from 6 April 2016. It has been replaced with other definitions of dividends for current areas of the legislation that use franked investment income.

From 6 April you should enter the amount of any ‘exempt ABGH distributions’ that the company has received. ‘Exempt ABGH distribution’ means a distribution which:

  • a) is a distribution for the purposes of the Corporation Tax Acts only because it falls within paragraph A, B, G or H in section 1000(1) CTA 2010, and
  • b) is exempt for the purposes of Part 9A of CTA 2009 (company distributions).

Exclude exempt distributions made by certain other companies in the same group or by certain consortia company (S279G(3) CTA 2010).

Note: The distribution should not be ‘grossed up’ by the addition of any tax credit. Refer to: CT600 Version 3 guide.

  • Description – enter a brief description of the distribution
  • Amount – enter the amount received

To delete a line from the grid, click the ‘trash can‘ button at the end of the line.