Investopedia

Spillover Dividend

Dictionary Says

Definition of 'Spillover Dividend'

A type of dividend in which the payment year and the taxable year occur at different times. Most often, this occurs when the dividend has been declared near the end of the calender year (during the fourth quarter), but the actual distribution date of the dividend payment does not occur until the first quarter of the following year.
Investopedia Says

Investopedia explains 'Spillover Dividend'

For example, XYZ Corporation declared that shareholders on record on December 16, 2010, would be entitled to receive a $2 dividend on each share that they own - with the distribution date on March 1, 2011. For income tax related purposes, the shareholders will need to include the $2-per-share dividend when they file their annual tax return for 2010, not 2011.

Articles Of Interest

  1. What is the double taxation of dividends?

    After all is said and done, companies that have made a profit can do one of two things with the excess cash. They can (1) take the money and reinvest it to earn even more money, or (2) take the ...
  2. Why Dividends Matter

    Seven words that are music to investors' ears? "The dividend check is in the mail."
  3. How Dividends Work For Investors

    Find out how a company can put its profits directly into your hands.
  4. Investing In REITs Instead Of Property

    Learn why this one particular REIT is a better investment than holding physical property in your retirement portfolio.
  5. Build A Dividend Portfolio That Grows With You

    Balance risk and return to produce adequate income despite inflation.
  6. Is a dividend reduction a signal to sell?

    Although a dividend reduction is generally viewed as a signal to sell, the decision is not as clear-cut as if the dividend were to be eliminated altogether, which would be an unequivocal sell ...
  7. The Power Of Dividend Growth

    Dividends may not seem exciting, but they can certainly be lucrative. Learn more here!
  8. How To Play Dividends During The Fiscal Cliff

    Shifting to qualified investment vehicles and other viable investment strategies could help invstors defer, avoid or minimize the tax hike.
  9. Dividend Facts You May Not Know

    Discover the issues that complicate these payouts for investors.
  10. Introduction To Dividends

    Investing in dividend-paying stocks can be an effective method of building long-term wealth.
comments powered by Disqus
Marketplace
Hot Definitions
  1. Winner's Curse

    Because of incomplete information, emotions or any other number of factors regarding the item being auctioned, bidders can have a difficult time determining the item's intrinsic value. As a result, the largest overestimation of an item's value ends up winning the auction.
  2. Glocalization

    A combination of the words "globalization" and "localization" used to describe a product or service that is developed and distributed globally, but is also fashioned to accommodate the user or consumer in a local market.
  3. Disaster Loss

    A special type of tax-deductible loss, similar to a casualty loss, where a loss has been incurred by taxpayers who reside in an area that has been designated as a federal disaster area by the President.
  4. Fool In The Shower

    The notion that changes or policies designed to alter the course of the economy should be done slowly, rather than all at once.
  5. Pattern Day Trader

    An SEC designation for traders who trade the same security four or more times per day (buys and sells) over a five-day period, and for whom same-day trades make up at least 6% of their activity for that period.
  6. Cost-Push Inflation

    A phenomenon in which the general price levels rise (inflation) due to increases in the cost of wages and raw materials.
Trading Center