Frasers Hospitality Trust Announces Key Distribution Dates and Tax Information
Frasers Hospitality Trust Announces Key Distribution Dates and Tax Information
Frasers Hospitality Trust (FHT) has released significant details regarding its upcoming distribution, which will undoubtedly capture the attention of its shareholders and potentially influence share values. Here are the key highlights from the report:
Distribution Details
FHT will distribute 1.1682 Singapore cents per stapled security for the period from 1 April 2024 to 30 September 2024. This distribution is divided as follows:
- Taxable income component: 0.4441 cents
- Tax-exempt component: 0.3996 cents
- Capital component: 0.3245 cents
Tax Implications
For Singapore income tax purposes, the components of a stapled security are recognized separately. The tax-exempt and capital components are not subject to Singapore income tax. However, the taxable income component will have tax deducted at source in specific circumstances.
Important Tax Exemptions
- Individuals holding stapled securities in their sole names or jointly with other individuals.
- Singapore-incorporated and tax-resident companies.
- Singapore branches of foreign companies.
- Registered charities, town councils, statutory boards, co-operative societies, and trade unions.
- International organizations exempt from tax due to specific orders.
- Real estate investment trust exchange-traded funds with tax transparency treatment.
Stapled securityholders falling within these categories must complete relevant sections of the “Declaration for Singapore Tax Purposes Form” (Form A) to receive gross distribution (no tax deducted). Failure to submit the form will result in tax being deducted at the prevailing corporate tax rate.
Declaration and Distribution Dates
Key dates for shareholders to note include:
- 19 November 2024: Stapled securities will be traded ex-distribution.
- 20 November 2024: Closing of the Transfer Books and Register of Stapled Securityholders at 5.00 p.m.
- 25 November 2024: Dispatch of tax declaration forms.
- 5 December 2024: Deadline for submission of completed tax declaration forms by 5.00 p.m.
- 27 December 2024: Payment of distribution.
Distribution Policy
FH-REIT’s policy is to distribute 100% of its distributable income until 30 September 2015 and at least 90% thereafter. FH-BT aims to distribute as much of its income as practicable, subject to the discretion of its Board of Directors. Notably, FH-BT will not distribute any income for the period from 1 April 2024 to 30 September 2024.
Important Reminder
Boardroom Corporate & Advisory Services Pte. Ltd. will dispatch the relevant forms to stapled securityholders around 25 November 2024. Shareholders and depository agents must return the completed forms by 5.00 p.m. on 5 December 2024 to receive the distribution as either gross or net after tax deduction.
This announcement could potentially impact the share prices of FHT due to the detailed distribution plans and tax implications outlined. Shareholders should closely monitor the dates and ensure timely submission of required forms to maximize their benefits from the distribution.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investors are advised to seek professional consultation before making any investment decisions. The value of investments may fluctuate, and past performance is not indicative of future results.
