distributable profit
Under section 236 of the Companies Act 1985 distributable profit is the profit shown in the latest statutory accounts after deducting or adding any reserves or deficit carried forward from earlier years (and having taken out of account any unrealised capital profits on the revaluation of assets) out of which dividends may be paid.

Easyform Glossary of Law Terms. — UK law terms.

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  • distributable profit — ➔ profit1 * * * distributable profit UK US noun [C, usually plural] (also distributable reserve, also distributable surplus) ► ACCOUNTING, FINANCE the amount of a company’s profit that is available to pay dividends to shareholders in a p …   Financial and business terms

  • distributable reserves — Under section 236 of the Companies Act 1985 distributable profit is the profit shown in the latest statutory accounts after deductions or adding any reserves or deficit carried forward from earlier years (and having taken out of account any… …   Law dictionary

  • distributable reserve — UK US noun [C, usually plural] ► ACCOUNTING, FINANCE DISTRIBUTABLE PROFIT(Cf. ↑distributable profit) …   Financial and business terms

  • distributable surplus — UK US noun [C or U] ► ACCOUNTING, FINANCE DISTRIBUTABLE PROFIT(Cf. ↑distributable profit) …   Financial and business terms

  • profit — total revenue less total expenses for a period of time calculated in accordance with generally accepted accounting principles. Glossary of Business Terms Revenue minus cost. The amount one makes on a transaction. Bloomberg Financial Dictionary *… …   Financial and business terms

  • distributable profits — distributions made by companies from profits available for the purpose (section 263, Companies Act 1985). Profits available for the purpose are accumulated realised profits less accumulated realised losses. Realised profits are, broadly, those… …   Law dictionary

  • profit — prof·it n 1: gain in excess of expenditures: as a: the excess of the selling price of goods over their cost b: net income from a business, investment, or capital appreciation compare earnings, loss …   Law dictionary

  • profit retained for the year — Fin nondistributed profit retained as a distributable reserve …   The ultimate business dictionary

  • profit and loss account reserve — A reserve that contains the balance of retained earnings to carry forward. It is fully distributable and shown as part of shareholders reserves on the balance sheet …   Accounting dictionary

  • non-distributable reserve — UK US noun [C, usually plural] (also non distributable profit) ► FINANCE profit made by a company that is not available to pay as dividends to shareholders: »Included in the Profit and Loss Account of the company are non distributable reserves …   Financial and business terms

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