Section 58a & section 2(22) (e)
This query is : Resolved
09 September 2014
Hi,
Deemed dividend concept says that if company has granted loan to a director, it is treated as deemed dividend even if the loan is repaid before the year end.
Now my question is, if the company has taken a loan from a director first and then the company is repaying the loan before the year end. Then are those payments treated as deemed dividends?
Deemed dividend concept says that if company has granted loan to a director, it is treated as deemed dividend even if the loan is repaid before the year end.
Now my question is, if the company has taken a loan from a director first and then the company is repaying the loan before the year end. Then are those payments treated as deemed dividends?
09 September 2014
Repayment of loan taken from director does NOT amount to loan or advance as envisaged by Section 2(22)(e).
Accordingly such repayment will NOT amount to deemed dividend.
Accordingly such repayment will NOT amount to deemed dividend.
Message likes :
1 times
09 September 2014
@siddhartha Bhardwaj: Thank you
10 September 2014
You are welcome. You should use the thanks button to convey your thanks.
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
- House Property Reporting in ITR
- Refund Annexure-B
- Internship/Academic shown in Salary Pay Slip of a Doctor
- TDS Claim year
- Liable to deduct tds and 44ADA
- TDS Challan Code
- Rent lease agreement
- Refund of 20%pre-deposit paid for stay application
- Nomination of Bank for refund in itr 2
- Section 56(2) of the Income tax Act 1961 , Gift to relative .
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- 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
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
