Dividend treatment
This query is : Resolved
08 January 2013
Can any one help me to know, what will be the tax treatment for profit and reserve & surplus in case of winding up of company. Will it be termed as dividend or something else.
09 January 2013
The accumulated profits of the company as on the date of liquidation will partake the nature of dividend as per sec. 2(22)(c)and such dividend is liable for dividend distribution tax u/s 115O.
Any amount distributed to the share holders in excess of the capital and the accumulated profits as on the date of liquidation will partake the nature of capital gains as per Sec.46 read with sec 48 of the IT Act.
Any amount distributed to the share holders in excess of the capital and the accumulated profits as on the date of liquidation will partake the nature of capital gains as per Sec.46 read with sec 48 of the IT Act.
09 January 2013
thnx for the help sir
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- About TDS & Income Tax
- Section 194JA & JB Income which ITR Form to use
- Pass word to open justification report for Q1 for FY 2026-27
- PPF interest-As Exempt Income disclosure
- Under construction property in ITR
- Scrutiny and reopening of past returns
- Booth for sales promotion
- Upload Level ValidationITR3Category of Defect B/D
- Building tax payment deduction in rental Income
- F & O PROFIT REPORTING FOR AY 2026-27
- Difference in GSTR3B system generated which is correct and actual Payment it asks
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
- Interest credited in FY2025-2026 & TDS therein by EPFO does not reflect in AIS or Form 26AS
- 44ad eligble money lending interest
- Taxation in the hands of Landowner under JDA
- Delisted shares sold in off market/ Rebate u/s87A
- In Exports Sales HSN details where to fill
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
