Sejal Patel (ca) (61 Points)
27 May 2016
CA Mehul Chudasama
(Chartered Accountant)
(618 Points)
Replied 27 May 2016
Dividend From Indian Companies Exempt U/s 10(34).
1) Profit From Sale Of Share And Securities Held As Stock In Trade Is Taxable As PGBP
2) And If You Treated As Investment The It Will Considerd Under Capital Gains
Sejal Patel
(ca)
(61 Points)
Replied 27 May 2016
thanks,
we are treating the share trading income as
PGBP but the question is about the treatment of share dividend received during the year from shares in which firm is trading,
wherether it's IFOS & exempt u/s 10(34).
or
income as PGBP & taxable.
Vinay somani (CA, CS)
(Assistant Manager-Accounts)
(549 Points)
Replied 27 May 2016
Taxable under PGBP. because u are trading in the shares from which u received the dividend.
Vinay somani (CA, CS)
(Assistant Manager-Accounts)
(549 Points)
Replied 27 May 2016
Sry dear,
Same is exempt under section 10(34).
but as per amemdmend in budget 2016 if dividend recd. is more than 10 lacs during the year u have to pay 10% tax on the same.
Rahul Patidar
(student)
(70 Points)
Replied 27 May 2016
Dividend received on shares is exempt. It is irrelevant whether shares are held as stock-in-trade or investment.
And Dividend income should be shown under IFOS head only.
So It is IFOS and Exempt u/s 10(34)
CAclubindia
