Deemed Dividend
This query is : Resolved
07 January 2011
Facts :
1. Closely held company
2. SHD giving money to the company
3. SHD holding more then 10% of shares in the company
4. Interest payment by the company to the SHD
5. Company possess accumulated profits
Query :
will the interest received by the SHD be treated as deemed dividend??
Interpretation of the words "advance or loan"??????
1. Closely held company
2. SHD giving money to the company
3. SHD holding more then 10% of shares in the company
4. Interest payment by the company to the SHD
5. Company possess accumulated profits
Query :
will the interest received by the SHD be treated as deemed dividend??
Interpretation of the words "advance or loan"??????
07 January 2011
2(22)(e) is aplicable if company has advanced funds to the SHD and not vice versa. Interest received by SHD will be normal interest income only.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- ITC temporary reversal and reclaim
- Inventory of finished goods
- Applicable TDS rate for sale of property in Nov 2024
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- RCM INVOICING FROM NOV-2024
- GST Regis.
- Confusion around Form 26QB fields
- Tds on building rent monthly
- Clarification on Documentation of Paid-Up Capital Contribution by Directors
- As per schedule III of balance sheet how to pass journal entry
- Is correct way to find out capital of individual on 31st March
- Individual capital equal to which assets of balance sheet
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
Trending Online Classes
CAclubindia
