(d) Dividends Declared In Respect of JSE Listed Shares (Ss 10b (2) (d) And 10b (2)(e))
- If a foreign dividend is received in respect of a listed share, it will be exempt if it does
not consist of a distribution of an asset in specie.
Please clarify this section?
This section refers to dividends declared in respect of shares listed on the Johannesburg Stock Exchange (JSE). If a foreign dividend is received in relation to a listed share, it will be exempt from taxation if it does not consist of a distribution of an asset in specie. In other words, if the dividend is in the form of cash or securities rather than a physical asset like property or equipment, it will be exempt from taxation. This exemption is in place to encourage investment in foreign listed shares and to prevent double taxation on foreign dividends.
