Can the profits distributed by shareholders be offset?

Yes, but in accounting and taxation, it's best to go through a process and settle the accounts. Do nothing, just pay off, and there will be problems with tax settlement. Dividend is a substantive right. Dividend is not an inevitable behavior of the company, but the settlement of creditor's rights and debts is inevitable. Therefore, it is not advisable for shareholders to offset dividends with creditor's rights and debts. This offset does not consider that it infringes upon the legitimate rights and interests of other shareholders of the company.

According to the relevant provisions of China's Company Law, shareholders of a company may take the following measures to safeguard their own interests in the following circumstances:

1. Article 22 of China's Company Law stipulates that if the resolution of the shareholders' meeting or the board of directors on dividends violates the provisions of laws, administrative regulations or the articles of association, or there are procedural defects, the shareholders may bring a lawsuit to the people's court, requesting to cancel or confirm that the resolution is invalid. For example, the shareholders' meeting of the company exceeds the provisions of the articles of association, and dividends are not distributed or rarely distributed. The minority shareholders of the company can apply to the court for cancellation of the resolution.