Allocation Notice Sample

CAPITAL CREDIT ALLOCATION NOTICE - SAMPLE
NO ACTION REQUIRED


PURPOSE OF NOTICE
This Capital Credit Allocation Notice is sent in accordance with Internal Revenue Service rulings and the GVTC bylaws. GVTC operates on a non-profit basis. All operating revenues received by GVTC exceeding its operating expenses are allocated to the members in a pro rata manner based upon the capital that has been contributed by the member in relation to the capital contributed by all other members. This amount is referred to as the “Capital Credit Allocation Amount”. This also notifies each member of the amount of capital assigned to permanent capital during the 2015 Capital Credit retirement.

ELIGIBILITY
Only GVTC members are eligible for Capital Credits. Capital Credits are based upon the dollar amount of GVTC communication services, such as telephone and internet services, purchased by the member during the year.

CAPITAL CREDIT INFORMATION
Member No. 123456 2014 Capital Credit Allocation Amount              $100.00
2015 Retirement amount applied to permanent capital (*NPVD)       $  70.00              
*see link below for definition of Net Present Value Discount

CAPITAL CREDIT DISTRIBUTION
This is NOT the amount of your next Capital Credit retirement. The GVTC Board of Directors will determine the amount of future Capital Credit retirements at a later date.  
 

For more information or questions concerning your allocation, go to
www.gvtc.com/capital-credits

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