TERMIUM Plus®

The Government of Canada’s terminology and linguistic data bank.

ACTION CORPORATION DIFFICULTE FINANCIERE [1 record]

Filter results by subject field Alphabetical list of terms

Filter results by subject field

Alphabetical list of terms

Record 1 1992-04-30

English

Subject field(s)
  • Investment
  • Taxation
CONT

Shares which meet the requirements of the exception are often referred to as financial difficulty shares or distress preferred shares. These shares allow the creditor to convert debt to shares and thus receive dividends which are deductible in computing taxable income as opposed to receiving fully taxable interest income. The creditor can then charge a lower dividend rate than the interest rate and achieve the same after-tax rate of return. Although the lower dividends are not deductible by the debtor, this is not usually of consequence given the financial difficulty and resulting loss situation.

Key term(s)
  • financial difficulty share

French

Domaine(s)
  • Investissements et placements
  • Fiscalité
Key term(s)
  • action de corporation en difficulté financière

Spanish

Record saved

Copyright notice for the TERMIUM Plus® data bank

© Public Services and Procurement Canada, 2024
TERMIUM Plus®, the Government of Canada's terminology and linguistic data bank
A product of the Translation Bureau

Display options

Change the order of display of the official languages of Canada
Option to display the non-official languages (Spanish or Portuguese)
Display definitions, contexts, etc., on records

Features

Language Portal of Canada

Access a collection of Canadian resources on all aspects of English and French, including quizzes.

Writing tools

The Language Portal’s writing tools have a new look! Easy to consult, they give you access to a wealth of information that will help you write better in English and French.

Glossaries and vocabularies

Access Translation Bureau glossaries and vocabularies.

Date Modified: