Declaration of dividend out of accumulated losses

CA. Rashi Goyal (Chartered Accountant) (512 Points)

04 April 2011  

Hello Friends,

One Private Limited Company is suffering from losses since its incorporation and have no monies in their reserve account but it is anticipating some tax refunds. Can it be possible to declare the dividend out of anticipated refund amounts?

 

Please provide your views regarding this?

Regards,

Rashi Goyal