Beifit of holding shares through closely held investment com

Rajeev kumar Nayak (ACS) (283 Points)

16 February 2011  


I wanmt to know that why in a listed company promoters do not hold shares directly. They hold it through some closely held investment company.


What is the benifit of such indirect shareholding when dividend declared by the company is exempt in the hand of receipent under Section 10(34) of the Income Tax Act..

Please reply..

Thank s in advance

Rajeev Nayak.