Background Note | HBS Case Collection | December 1998 (Revised November 2005)

Contribution to Capital

by Henry B. Reiling and Mark Pollard


Distinguishes and explains the basic rules associated with two types of contributions to capital: (1) transfers of property by a government to a company to entice it to take some action such as relocate a plant, and (2) transfers of property to a corporation by existing shareholders without adequate documentation such as the issuance of stock certificates.

Keywords: Capital; Property; Taxation; Public Administration Industry; United States;


Reiling, Henry B., and Mark Pollard. "Contribution to Capital." Harvard Business School Background Note 299-040, December 1998. (Revised November 2005.)