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bonus shares

Pavan Kapoor (40 Points)

06 September 2019

How can we show bonus shares value in books to know that such person has HOLDING of bonus share as on 31/3/YYYY

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7 Replies

sabyasachi mukherjee (27721 Points)
Replied 06 September 2019

bonus shares value are being issued
for consideration other than cash .
Though they have no disclosure in balance sheet .
They are being given free of cost to equity holders.
they are being adjusted fron share premiun account.

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Pavan Kapoor (40 Points)
Replied 06 September 2019

I'm asking from the perspective of a share holder how can he show it as a holding for disclosure purpose

Kapadia Pravin (17264 Points)
Replied 06 September 2019

For shareholder - in the investment details Add the quantity entry for bonus shares. Amount of investment will remain same.

In some software you can pass journal entry with zero amount. And Bonus shares can be booked accordingly.

sabyasachi mukherjee (27721 Points)
Replied 07 September 2019

Pravin follow the query.

Kapadia Pravin (17264 Points)
Replied 07 September 2019

@ sabyasachi
There is no counter query from the querist @ Pavan. The query is from shareholder's point of view.

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Pavan Kapoor (40 Points)
Replied 07 September 2019

Dear Pravin,
if the bonus shares are not received from the same company but received from its subsidiary or any related company how can we show

for eg - ABC ltd has a subsidiary company ABCD ltd, from the share holders point of view if I have shares of company ABC ltd in future ABCD ltd has issued bonus shares to such shareholder HOW CAN THAT SHAREHOLDER SHOW THE SHARES OF SUCH ABCD ltd IN HIS BOOKS