Transfer of Dividend Amount to Investor Fund
This query is : Resolved
14 April 2009
Hi All Gurus
Our Company declared dividend of 8% for the year 1997-98, but the payment of the same was stayed by the High Court on the complaint of Financial Institutions.
We got the stay vacated in 2006 and made the payment of dividend to shareholders.
Now our Auditor is saying that the Dividend Amount should have been transfered to Investor Protection Fund within 7 years from the date of declaration.
As per my understanding the period of 7 years will be counted from the date of vacation of stay order of the High Court and not from the declaration of Dividend.
Please give replies.
Thanks
Samar
Our Company declared dividend of 8% for the year 1997-98, but the payment of the same was stayed by the High Court on the complaint of Financial Institutions.
We got the stay vacated in 2006 and made the payment of dividend to shareholders.
Now our Auditor is saying that the Dividend Amount should have been transfered to Investor Protection Fund within 7 years from the date of declaration.
As per my understanding the period of 7 years will be counted from the date of vacation of stay order of the High Court and not from the declaration of Dividend.
Please give replies.
Thanks
Samar
14 April 2009
Your understanding is correct. The 7 years time has to be calculated from the date of vacation of stay by High court and not the date declaration of dividend.
14 April 2009
Thanks but i don't have any documentary support for that.
Do you have case law or commentary that support our stand.
Do you have case law or commentary that support our stand.
15 April 2009
I agree with your opinion.
I think you should approach the ROC for a written clarification on this matter.
I think you should approach the ROC for a written clarification on this matter.
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
- STCG....................................................
- Section 54F - Exemption on LTCG in 2026 for HP purchased in 2023
- TAN for Partnership
- AMOUNT RECEIVED UNDER COMPULOSRY ACQUISITION OF AGRICULTURAL LAND
- Sales return eway bill
- Free lancer income
- GST ON DAMAGED GOODS
- Specified Profession
- LTCG for Assmt year 26-27
- Tax liability on income of freelancer
- Standard Deduction claim for EPFO Pension and ICICI Prudential Life Annuity
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- Nomination of Bank for refund in itr 2
- 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
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
