Deemed dividend u/s 2(22)e

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CA Sunil Kumar (Querist)
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24 March 2016 I am working in a private company. During the year 2015-16, there are number of payment of director personal expenses from company bank account. and director return back cash for such payment. Director is also shareholder of the company. I want to know that whether such payment of director personal exp amount to dividend as per section 2(22)e

Ankur Singhal

Ankur Singhal (Expert)
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25 March 2016 Dear
Pls tell the % of shareholding of director.
If the shareholding is equal to or more than 10% then it is a clear case falling under the ambit of section 2(22)e.
AS in your case the payments made by company is in nature of advance given to the director.