Dividend from foreign subsidiary

519 views 1 replies

Hi all,

I have a doubt regarding tax on dividend received from Foreign subsidiary.

If a foreign subsidiary declares dividend to wholly owned Holding Domestic company, what are the tax implications on the Foreign Subsidiary and Domestic Holding  Company.

Can the Domestic Holding company claim relief of the tax paid by Subsidiary in foreign country under DTAA. And again if the Holding company declares dividend to its shareholders, can it set off the dividend paid by subsidiary in foreign country.

Replies (1)

Divdend received from foreign subsidary company is taxable.. you have to pay Additional Dividend Distribution Tax On This And When Domestic Holding Company Issue Dividen You Can Claim Set of For the dividend received from Foriegn Company... suppose indian company paid 500000 dividend and received 100000 deiveded from subsidary company the it have to pay DDT on 4 lacs only provided dividend received from subsidary company and dividend issued by holding company in same financial year

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Related Topics
Loading
Company
25 June 2026
Accounts & Taxation Executive

Dindukurthy & Associates

Hyderabad

MBA

View Details
Company
ARTICLESHIP 18 June 2026
Article Assistance

RB KESHRI & CO.

Mumbai

CA Inter

View Details
Company
22 June 2026
Accountant

Global Image Technologies Private Limited

New Delhi

MBA

View Details
Company
ARTICLESHIP 30 June 2026
Article Assistant or Paid Assistant

VIKAS VERMA & CO

New Delhi

Others

View Details
Company
20 June 2026
Chartered Accountant

ANV & Company

New Delhi

CA

View Details
Company
06 July 2026
Chartered Accountant (Indirect Taxation)

Gowra Ventures Pvt Ltd

Hyderabad

CA

View Details
Company
ARTICLESHIP 20 June 2026
Articleship

RB KESHRI & CO

Mumbai

B.Com

View Details
Company
12 June 2026
Accounts & Taxation Executive

Winshine Financial Services

Mumbai

CA Inter

View Details