Commercial & Finance

ADP

Definition

Acceptable Distribution Policy

ADP means Acceptable Distribution Policy. Term in UK company tax law. A Controlled Foreign Company (CFC) may need to follow an ADP - dividending 90%+ of its income to the UK - to avoid its profits being treated as…

Term in UK company tax law. A Controlled Foreign Company (CFC) may need to follow an ADP - dividending 90%+ of its income to the UK - to avoid its profits being treated as taxable for its UK parent. This may not be the context you were looking for!

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