English to Hungarian Bus/Financial Economics

Accounting treatment of dividend equivalents – has been confirmed by Corporate Finance that dividends equivalents for the countries are booked below OI.

Context:

Dividends / Dividend Equivalents

Definition - The company pays either dividends or dividend equivalents for outstanding (i.e. unvested) restricted stock and deferred stock units during the vesting period.
Taxable point in time
–Dividends and dividend equivalents are considered cash payments which are paid via payroll applying standard payroll taxes at time of payout.
Frequency of administration impact
–Quarterly following the company real dividend payment schedule.
Accounting treatment of dividend equivalents – has been confirmed by Corporate Finance that dividends equivalents for the countries are booked below OI.
Post vesting, real dividends are paid directly to the shareholder via the broker holding the shares for the employee (e.g. cash dividends are deposited in the recipients’ UBS cash account).