Shareholders’ Right to Receive Dividends in Joint Stock Companies
Joint stock companies are entities where shareholders’ participation is based on their capital, and their responsibility is limited to the stipulated capital.
The main aim of joint stock companies is to make a profit and distribute dividends to their shareholders.
Dividends are defined as amounts decided within the scope of general assemblies policy and distributed to the shareholders.
Dividend distribution is important for attracting new shareholders and protecting existing ones, while also ensuring necessary investment for company growth.
According to the Turkish Commercial Code, determining and distributing dividends is a non-transferable duty and power of the general assembly, and it is calculated based on the net profit of the period and the capital share payments made by shareholders.