Background Note | HBS Case Collection | 2005 (Revised from original 1998 version)

Contribution to Capital

by Henry B. Reiling and Mark Pollard

Abstract

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;

Citation:

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