Legislator Case Law & Legislation
KHO:2001:28 AI generated

Supreme Administrative Court ruled that dividend income is taxable even when derived from capital return on shares.

Case Number KHO:2001:28
Court / Authority
Jurisdiction Finland (FI)
Decision Date
Outcome Allowed / Granted

Legislator summary

AI generated

The Supreme Administrative Court determined that income derived from the return of own capital on shares constitutes taxable dividend income under Finnish tax law. The taxpayer argued that since the return matched the original investment cost, it should be tax-exempt, but the court rejected this distinction. Consequently, the court held that such returns are subject to taxation as they represent a return on investment rather than a pure capital recovery.

Legislator headnote

AI generated

Verolaki 1995/1015; Verotettava tulo on verotettava, vaikka se olisi osakkeiden perusteella saatu omien pääoman palautus, joka vähennetään hankintamenosta.

Keywords

AI generated
dividend income taxation capital return treatment share ownership tax investment cost deduction taxable income definition

Cited Legislation

AI generated
Verolaki 1995/1015
AI generated

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Full text

Asiassa KHO 23.05.2001 T 1245 katsottiin niin ikään että, kysymyksessä on veronalainen tulo, kun tuloverolain mukaan verotettava verovelvollinen saa omistamiensa osakkeiden perusteella sidotun oman pääoman palautuksen. Verovelvollinen saa vähentää osakkeiden hankintamenon pääoman palautusta vastaavalta osalta.