Deed of Dividend Waiver Template​

The execution of a Dividend Deed of Waiver must be done with careful consideration, as it may affect the shareholder's financial interest and tax obligations. It is often utilized in family-owned companies or small businesses where the shareholders may agree to defer income for strategic financial reasons or personal preference.

This document legally formalizes the waiver, preventing any future claims by the waiving shareholder for the dividends they've forfeited. Companies usually require these waivers to be signed and lodged before declaring dividends to ensure clarity and prevent disputes among shareholders.