Profit & Lass A/c vs General Reserve.
This query is : Resolved
03 September 2010
What are the rules for transfering profits to General Reserves other than the mandatory transfer in case of Dividends.
For all purposes, is the balance of Profit & Loss A/c in Shareholders Equity to be treated on par with General Reserves?
For all purposes, is the balance of Profit & Loss A/c in Shareholders Equity to be treated on par with General Reserves?
03 September 2010
Transfer to Reserve less then 10% NO CONDITION
Transfer to Reserve Exceeding 10%:
(A)
if co declared No Bonus in this/ immediately preceding 3 years - Rate of Dividend> Average rate of Div. in immediately preceding 3 years.
(B)
if co declared Bonus in this/ immediately
preceding 3 years AMOUNT of Dividend> Average AMOUNT of Div. in immediately preceding 3 years.
(C)
Company not declaring dividend : Amount proposed to be transferred to Reserve should be lee then average amount of Div. declared in immediately preceding 3 years.
Transfer to Reserve Exceeding 10%:
(A)
if co declared No Bonus in this/ immediately preceding 3 years - Rate of Dividend> Average rate of Div. in immediately preceding 3 years.
(B)
if co declared Bonus in this/ immediately
preceding 3 years AMOUNT of Dividend> Average AMOUNT of Div. in immediately preceding 3 years.
(C)
Company not declaring dividend : Amount proposed to be transferred to Reserve should be lee then average amount of Div. declared in immediately preceding 3 years.
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
- Capital gain from sale of house property
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- TDS on Purchase of Immovable Property by NRI from NRI
- Copyright software
- SFT Cash Deposit in Current Account
- Multiple trade mark
- FORM 26A APPLICABILITY
- When TDS on GST applied
- Before GSTAT- APL-02 Vs APL-04
- Opting our of sec 44AD
- GST Treatment of Insurance Commission for Existing GST Holder
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
