capital contribution

noun

: a contribution of funds or property to the capital of a business by a partner, owner, or shareholder

Note: Under the Internal Revenue Code, a capital contribution is generally excluded from a company's gross income, unless it is a loan from a shareholder that the company is released from repaying.

Dictionary Entries Near capital contribution

Cite this Entry

“Capital contribution.” Merriam-Webster.com Legal Dictionary, Merriam-Webster, https://www.merriam-webster.com/legal/capital%20contribution. Accessed 12 Jul. 2024.

Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!