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Dividend Tax Reg

This query is : Resolved 

27 June 2011 Dear all

please tell me about Dividend Distribution Tax for the year 2011 - 12

01.Divident Tax % ?
02.Surcharge %?
03.Education Cese %?

kindly clarify the same


27 June 2011 For the FY 2011-12 the rates are as under -


01.Divident Tax 15%
02.Surcharge 7.5% of (01)
03.Education Cess 2% of (01+02)
04.Secondary & HS Education Cess 1% of (01+02)

27 June 2011 For Dividend Distribution Tax, the year to which dividend pertains is not relevant. It is a current item & hence rate prevailing at the earliest of the following event shall be applicable:-
(a) declaration of any dividend; or
(b) distribution of any dividend; or
(c) payment of any dividend. If so, the rate of surcharge is 5% thereby total rate will be 16.2225%.


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