Dividend Tax Reg (Income Tax)

This query is : Resolved

satyanarayana

( Author )
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

CA PARAS BAFNA

( Expert )
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)

B.Chackrapani Warrier

( Expert )
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%.