16 September 2009
hi if any co give any advance to person having substantial int in co or any concern in which such person having sub int then under which hand deemed dividend will be taxable co or receipient
11 October 2009
If the loan/advance is given to the share holder, it is to be asessed in his hands as deemed dividend.
If the loan /advance is given to a concern in which the share holder have substantial interest, then such amount shall be treated as deemed dividend in the hands of the SHARE HOLDER and not the concern.
Citation:- ACIT Vs. Bhaumik Colour P Ltd (2009) 27 SOT 270 (Mum)
CAclubindia
