Share allocation jointly held with others

[jace the ace]

Does anyone know if a share allocation of 100 shares which are jointly held with others(Husband & Wife) means that the losses from an LAQC(2011 & prior) and dividends from a Qualifying company(post 2011) have to be attributed 50/50.

A friend of mine has the above setup which their accountant did for them when the company was formed.His accountant has been attributing 95% of the LAQC(2011 & prior) losses to him and 5% to his wife.
The company elected to be a Qualifying company from 2012 as it holds cashflow positive rental properties.Their accountant is also looking to allocate 2012 dividends based on the 95/5 split.

I notice that the companies office website says that if a share allocation has more than 1 shareholder the shares will be joiintly owned by those shareholders.Does that mean that the LAQC losses should've been 50/50 between the husband and wife.

[Rosco]

Yes

Unless there is some bare trust document or something else that stiplulates the shares are not 50/50.
Jointly held could also mean there is a Trust that owns the shares. ie Husband and wife are sole trustees in a trust, and the Trust owns the shares.
If just individuals owns the shares, then you normally wouldn't use jointly held. They would normally be 50 shares in husband name and 50 shares in wife name.

Ross

[jace the ace]

Thanks Rosco

The minutes of the first meeting of directors resolved that the shareholding would be 95-Husband & 5-Wife.The company share register also shows the 95/5 shareholding.
Can they simply amend their details on the companies office website to reflect the shareholding as it should always have been.

[Ivan McIntosh]

A meeting of directors doesn't change a shareholding. Only a share transfer does that. If it is a genuine mistake, and is 95/5 in all paper incorporation documents, then go and amend the companies office details to reflect those incorporation documents.

If the company was intentionally set up with all shares jointly owned, and there has simply been a change of mind, then there will need to be a transfer of shares from them both to each person 95/5 respectively, at market value, and a bit of thought will need to go into it.