Dividend credit calculation revised: company tax credit apportioned by ratio of dividends received to total dividends declared. The amendment replaces subsection (2) of section 236A so that the credit equals the sum which bears to the company's tax on the relevant dividend distributions the same proportion as the dividends (other than on preference shares) received by the institution or fund from the company bear to the total dividends (other than on preference shares) declared or distributed by the company during the previous year, and explains that 'the relevant amount of distributions of dividends' is defined in the Finance Act of the relevant year.