Dividend Tax Treatment – IRS 8937| Investors | Medtronic

Dividend Tax Treatment – IRS 8937


Dividend Distribution U.S. Tax Treatment
Medtronic plc has determined that all of the distribution paid on July 27, 2016 will be treated as a distribution of earnings; none is considered a return of capital. For all subsequent distributions, and at fiscal year-end, Form 8937 will no longer be filed unless a distribution is determined to include a return of capital. Based on available earnings and profits at Medtronic plc, we do not anticipate that another Form 8937 will be filed in the near future.

A portion of Medtronic’s dividends paid following the Covidien transaction, starting with the dividend distribution paid on April 17, 2015, and ending with the dividend distribution paid April 16, 2016, were treated for U.S. tax purposes as a return of capital (ROC) instead of a distribution of earnings.  The U.S. tax treatment of Medtronic’s dividend distribution is calculated solely based on the earnings and profits of Medtronic’s parent company, and does not include earnings and profits of Medtronic’s subsidiary companies.

Medtronic provided estimates after each dividend distribution of the portion of the dividend that is treated as a ROC versus a distribution of earnings on IRS Form 8937, which were posted to this page generally within 45 days after the dividend payment date.  As Medtronic is a fiscal year taxpayer with an April fiscal year end, the final determination of the dividend distributions paid in fiscal year 2016 (April 25, 2015 to April 29, 2016) was posted on Friday, May 27, 2016.

The following table summarizes the Medtronic plc dividend distribution U.S. tax treatment.  For complete information, please see the Form 8937 below.  For questions regarding your specific situation, you should consult your tax and/or financial advisor.


Dividend Payment Date
Dividend Distribution
U.S. Tax Treatment


Disposition
Distribution of Earnings Percentage
Return of Capital Percentage

Apr. 16, 2016

28.66%

71.34%

Final

Jan. 15, 2016

28.66%

71.34%

Final

Oct. 15, 2015

28.66%

71.34%

Final

Jul. 17, 2015

28.66%

71.34%

Final

Apr. 17, 2015

35.17%

64.83%

Final

Please note, the dividend paid on January 15, 2015 was paid by Medtronic, Inc. and is a regular qualified dividend.


Medtronic IRS Form 8937 Filings


Form 8937 - Dividend Payments

Fiscal Year 2017

Medtronic form 8937 for Div Paid 7-27-2016

Fiscal Year 2016

Medtronic form 8937 for Div Paid July 15, 2015-April 16, 2016

Fiscal Year 2015

Medtronic form 8937 for Div Paid 4-17-2015

Form 8937 – Medtronic / Covidien Transaction Close

Covidien plc form 8937 Closed 1-26-2015
Medtronic, Inc form 8937 Closed 1-26-2015


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