Dividends

Dividend pay-out in 2020

The Supervisory Council of AS Tallinna Vesi proposes a dividend pay-out of 1.00 euros per share. The proposal will be voted upon at the next annual general meeting on 28 May 2020.

According to the amendment to the Income Tax Act, effective since 1 January 2018, at a company level, an income tax rate of 14% (14/86 of the net amount) shall be charged on the share of dividends, which is smaller than or equal to the previous three calendar years average of the Company’s profit distributions taxed in Estonia. An income tax rate of 20% (20/80 of the net amount) shall be charged on the remainder of the dividend pay-out. Pursuant to the law, a lower tax rate shall be applied in 2020 to 1/3 of the profits distributed in 2018 and 2019, on which a resident company has paid income tax.

Consequently, a lower income tax rate (14%) is applicable to 37.0% of the dividend pay-out and an income tax rate of 20% is applicable to 63.0% of the dividend pay-out.

According to the clauses 41 (7²) and 43 (1) (1¹) of the Income Tax Act, the Company is required to withhold 7% of income tax on the dividends paid to natural persons provided that such dividend has been taxed with a tax rate of 14%. This also applies to a shareholder who is a natural person and keeps the shares on an investment account.

The shareholders who are natural persons shall receive the dividend as a net amount, from which the income tax has already been withheld in full.

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	NET PROFIT		DIVIDENDS PAID PER A-SHARE		DIVIDEND PAYOUT RATIO(%)		DIVIDENDS PER A-SHARE
	million EEK	thousand EUR	million EEK	thousand EUR			EEK	EUR
2002	146	9 343	45	2 876	31		2,25	0,14
2003	105	6 681	75	4 793	72		3,75	0,24
2004	173	11 054	112	7 158	65		5,6	0,36
2005	174	11 143	157	10 034	90		7,85	0,50
2006	248	15 853	196	12 527	79		9,8	0,63
2007	278	17 757	249	15 914	90		12,45	0,80
2008	296	18 916	230	14 700	78		11,5	0,73
2009	340	21 726	500	31 956	147		25	1,60
2010	257	16 405	250	16 000	97,5		12,5	0,80
2011		21 513		16 800	78,1			0,84
2012		22 599		17 400	77,0			0,87
2013		19 936		18 000	90,3			0,90
2014		17 943		18 000	100,3			0,90
2015		19 858		18 000	90,6			0,90
2016		18 390		10 800	58,7			0,54
2017		7 211		7 201	99,9			0,36
2018		24 150		7 201	29,8%			0,36
2019		27 760		15 000	54,0%			0,75

 

 

 

 

 

 

 

 

 

 

 

 

 

 

*Dividend payout ratio = (paid dividends/net profit)*100

The share capital of the Company consists of 20 million A shares and 1 preference B share

Owner of the B-share is entitled to the dividend of EUR 600 per share per annum.

Dividend for the reporting period are paid out on the year following the reporting period.