Dividend declared

1) When you pay the Dividend Distribution Tax, write the A.Y of the year of which Dividend is declared. (ie. A.Y 11-12)

2) The Directors shall consider the income in A.Y 12-13.

Regards,

Devendra

Originally posted by : Valerian D'Souza
	On 23- May-2011,  board of directors of private limited company declared dividend  for financial year 2010-11 and on 24th may, 2011 the dividend is paid to the shareholders/directors. when we pay dividend distribution tax  which assessment year we should write ? 2011-12 or 2012-13 ? In which year the Directors should consider dividend income ? in financial year 2010-11 or 2011-12 ? Kindly advice; Thank you so much. Valerian D'souza Accounts Manager

Well Mr. Devendra Sorry to say but you are giving a wrong advice.

You are telling with your general knowledge only and not based on practical knowledge.  Well Dividend when declared on 23rd May 2011 then when you pay dividend distribution tax you should write A.Y. 2012-13 as it is declared in F.Y. 2011-12 though it may be for the income of F.Y. 2010-11.

And this is in practice only..........