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Divident payment isMandatory for Fixed % Redeemable pref. share by Pvt Ltd Co. F Y 2021 2022

Others 119 views 3 replies

Rajesh P. Dagdu

Associate with Chartered Accountant

57 Points Joined September 2010

Respected Sir/Madam,

Is it Mandatory to pay Dividend every year on Fixed % Redeemable Preferance Share by Private Limited Company which had not paid any dividend to its Equity Shares during F Y 2021-2022

Accourding to Companies Act 2013 with latest Amendment applicable for Financial Year 2021-2022

Thanking You

Rajesh Dagdu

Replies (3)

Chirag

Professional

1979 Points Joined December 2017

Depending on the kind of CCRPS/NCRPS if they are cumulative then it's an obligation of the company...that whenever dividend declared past due and current one will be paid first

Rajesh P. Dagdu

Associate with Chartered Accountant

57 Points Joined September 2010

THANKS FOR REPLY

MY QUESTION IS FOR MANDATORY TO PAY DURING FINANCIAL YEAR 2021-2022 OR NOT MANDATORY IN FINANCIAL YEAR 2021-2022 FORGET ABOUT FUTURE EVENTS

Chirag

Professional

1979 Points Joined December 2017

I replied about past events itself ,if the kind of preference share is cumulative then you are obliged first , mean to say if dividend is not paid in 2020-21 and you are declaring in 21-22 then 20-21 will also be paid..