kalpesh (assistant) (193 Points)
30 May 2011We have a company, which has past accumulated profits of10,00,000 ( in P& l A/c and not in any reserves) and profit during the year is only 10,000The paid up capital of Company is100,000. Please give me your opinion about how much dividend can be paid and what amount needs to be transferred to reserves.?
Rajnikant Vadigoppula
(CA, CS And CMA Final)
(919 Points)
Replied 30 May 2011
dividend can pay upto Rs.10,10000/-
if dividend is paid % on Paid up Share Capital
Dividend paid % Transfer to General Reserve
upto 10% nil
10-12.5% 2.5%
12.5-15% 5%
15-20% 7.5%
above 20% 10%
Analysis of 20 GST Notices (including 2 Appeals) and Practise on Drafting(with recording)
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