Income Tax : Discover the new tax rules for share buybacks under the Finance Bill 2024, including deemed dividend taxation and capital loss tre...
Company Law : Explore the Companies Act 2013's provisions on dividends and learn about the mechanisms for handling unclaimed dividends, ensuring...
CA, CS, CMA : Explore intricacies of deemed dividends in India. Understand definitions, applicable transactions, and tax implications. Uncover i...
Income Tax : Learn the taxability of dividend income with answers to FAQ's. Understand the basics of dividend income and its taxation in 2020 w...
Income Tax : Explore dividend taxation for investors and corporations, including changes post-April 2020. Learn about domestic and foreign divi...
Income Tax : Explore the Madras High Court's ruling on Section 248's inapplicability to dividend declarations. Detailed analysis and implicatio...
Income Tax : ITAT held that dividend declared, distributed or paid by a domestic company to non resident shareholder (s) attract additional inc...
Income Tax : ITAT Mumbai held that in terms of the provisions of the applicable tax treaty, i.e., Indo-Mauritius tax treaty, and as the provisi...
Income Tax : Manmohan Textiles Limited Vs National Faceless Appeal Centre (ITAT Mumbai) Provisions of Section 10(34) of the Act which stood ame...
Income Tax : Individual affairs are conducted and business decisions are made in expectation of consistency, uniformity and certainty and to d...
SEBI : As per the extant regulatory framework, the Trustees hold the property of the Mutual Fund in trust for the benefit of the unit hol...
Corporate Law : IRDAI permits Insurers to classify investments in Preference Shares and Equity Shares as part of Approved Investment of for at lea...
Union Budget 2021 proposed to relax Section 234C interest on Dividend income along with capital gains if shortfall in the advance tax payments and tax due has been paid in the subsequent advance tax instalments. Advance tax instalment for dividend income, Capital Gain etc. Section 234C of the Act provides for payment of interest by […]
Taxability of Dividend from F.Y 2020-21 for Shareholders- From F.Y 2020-21, Section 10(34) has been withdrawn-Exempting dividend Income from taxation. Also earlier Section 115BBDA that provided taxability of dividend over Rs 10 lakhs is of no relevance in hands of shareholders. Taxation of Dividend in hands of shareholders- Dividend can be taxable under head- Income […]
Tax Implications of Majesco Ltd.’s Dividend Declaration on 15th December 2020 Easy dividend income seemed like a no brainer on 15th December 2020 when the board of Majesco Ltd. declared an interim dividend of Rs. 974 per share, i.e., dividend higher than its prevailing market price of Rs. 972. As retail investors hopped on the […]
Many a times, profitable companies end up in a situation of generating more cash than they can reasonably reinvest in their business at attractive returns on capital. As cash holdings on a company’s balance sheet increases, there is increased pressure from shareholders to return some of this excess cash to them. There are two ways […]
Japan International Co-operation Agency (JICA) Vs ACIT (ITAT Delhi) A.O. as well as Ld. CIT(A) have taken a wrong view by holding that the assessee cannot grow tax-free income u/ss 10(34) and 10(35) of the Acts unless additional tax has been paid as per the provisions of Sections 115-0 and 115-R of the Act and […]
As per Section- 2(35) ‘dividend includes interim dividend’ signifies that the provisions of Companies Act 2013, applicable to the final dividend to the extent possible, shall also applicable on interim dividend. As the word “interim” means “relating to less than a full year’s business activity” so the dividend declared in the middle or before the […]
FOR RESIDENT SHAREHOLDERS: When valid PAN is available in the records of the Company: Tax deduction rate on Dividend – 7.5%# When valid PAN is not available in the records of the Company: Tax deduction rate on Deividend- 20% #The tax rate has been reduced from 10% to 7.5% with effect from 14 May 2020 […]
Giesecke & Devrient [India] Pvt Ltd. Vs ACIT (ITAT Delhi) To recapitulate, the DDT is levy on the dividend distributed by the payer company, being an additional tax is covered by the definition of ‘Tax’ as defined u/s 2(43) of the Act which is covered by the charging section 4 of the Act and charging […]
The shift in the dividend distribution tax (DDT) in the hands of shareholders hailed a big relief for corporates and non-resident. This article primarily focuses on, how (DDT) is taxed as per new amendments by the Finance Act, 2020. It also aims to show, the impact of (DDT) in the hands of shareholders i.e. whether […]
A. Existing Provisions relating to dividend taxation: (i) Tax implication in the hands of company: Under the existing laws, even though dividend constituted income in the hands of the shareholders, the tax on such dividend was payable by the company which declared dividend, @ 15% of the gross dividend under section 115-O (plus surcharge and […]
