Cancellation of dividend

Once Company has declared Dividend Can it cancel the same

Replies (2)

No. the Company's Act specifically states that once dividend has been declared it cannot cancell the same, further it has to deposit the same in a seprate bank account within 30 days of declaration.

No It cannot cancel the dividend.  Once declared,  dividend becomes a liability of the co & it is required to pay ti the shareholders after deducting CDT.  That's why the provision of Interim Dividend have been brought at par with that of the Final Dividend because Directors use to declare the Interim Dividend nad subsequently it used to get cancelled.  to curb this practice the provsion relating to INterim dividend have been amended by Companies Ameendment Act,2000.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
16 October 2026
CA article trainee

Zerdi & Co. Chartered Accountants

Pune

CA Inter

View Details
Company
07 October 2026
Senior Account Manager

Amplio Invest

Mumbai

M.Com

View Details
Company
30 September 2026
Senior Accounts Executive

Codeboard Technology

Chennai

MBA

View Details
Company
ARTICLESHIP 21 September 2026
CA Article Assistant

KK & Company Chartered Accountant

Pune

CA Inter

View Details
Company
17 September 2026
Chartered Accountant

Dass Gupta & Associates

Gurgaon

CA

View Details
Company
ARTICLESHIP 30 September 2026
CA Article Assistant

CA Suraj Garg & Associates

New Delhi

CA Final

View Details
Company
18 September 2026
Accounts & Finance Specialist

ULTRA CHEMICAL WORKS

Thane

CA Final

View Details
Company
ARTICLESHIP 07 October 2026
Article Assistant

Malhotra Rajesh & Associates

New Delhi

B.Com

View Details