Ordinary Dividend

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Ordinary Dividend

1. In the United States, any dividend that is subject to income tax rather than (lower) capital gains tax. An ordinary dividend occurs if the security from which the dividend derives has not been held for at least 61 days during a certain 121-day period (for common stock) or for at least 90 days during a corresponding 181-day period. See also: Qualified dividend.

2. Any dividend that a company pays on a regular basis most of the time. See also: Special dividend
References in periodicals archive ?
A major concern centers on a drafting note which suggests that states should evaluate ordinary dividends for potential regulatory disapproval.
The USD 0.29 per share dividend includes a USD 0.16 per share regular quarterly cash dividend and an additional special cash dividend of USD 0.13 per share, bringing the total special and ordinary dividends declared in 2018 to USD 0.73.
The firm paid ordinary dividends of PS1.4m during the year but directors did not recommend payment of a final dividend.
The ordinary dividends received by Phuthuma Nathi shareholders have more than tripled, growing from 43,3 cents per share in 2007 to 142,22 cents per share in 2013.
Explaining the disparity in dividend value, Old Mutual Namibia said in a statement that disbursements of special dividends are inevitably larger than ordinary dividends paid out by a company, and are a non-recurring distribution of company assets to shareholders.
Brian Souter, chief executive of the Perth-based group, owns 15.1% of the shares and will get a pro-rata share of the pounds 340m payment, which is in addition to ordinary dividends.
Total ordinary dividends for the year were USD0.80 per share.
Aker Kvaerner also said that it plans to transfer some NOK2.2bn to its shareholders in extraordinary and ordinary dividends.
l(g) provided that a child under age 14 who had unearned income (e.g., interest, ordinary dividends, capital gains, etc.) in excess of $1,700 (in 2006) was taxed at the parents' highest marginal income tax rate, but only if the child had a living parent at the end of the year and the tax at the parents' rate exceeded the tax at the child's rate.
Since Tim did not receive the dividend payment as the owner of the shares, the payment amount will be taxable as ordinary income and will not be eligible for the lower 15 percent tax rate on ordinary dividends under the 2003 Tax Act.
Shares surged 26p to 395p yesterday as the bank said it would bring ordinary dividends for the year up 6p to 9p, as well as paying a special dividend of 6p.
If the company has followed a policy of not regularly increasing dividends, it can use the cash paid for ordinary dividends as reported in the cash flow statement.