Can a company pay dividend without providing current year's deprerciation?
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Payment of dividend without providing depreciation
Replies (3)
as far as i think, company cannot declare dividend without proiding for depreciation.
A company can pay dividend without providing for current year's depreciation but it will be in violation of Sec 205 of the Companies Act.
Hi, here is my opinion
Dividend is paid out of the profits available for appropriation which comes only after the deduction of depreciation.
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