What are the various means by which profits can be distributed to foreign equity share holders apart from dividend?
Menu
distribution of profits
Replies (3)
Dear Fatema,
1) Bonus Shares is the First & foremost thing (cash outflow is not involved on part of the company but shareholders can definately realize cash by selling their bonus shares& one more plus point CDT can be saved in this case)
2) U can issue Bonus Debentures etc, on which regular Interest can be paid to them.
If I get to know anyother means I will surely let u know
Amir,
Will you please explain how does allotment of bonus shares amount to distribution of profits?
Dear Fatema,
Bonus Shares will be issued by debiting ur reserves..& As I explained it will not involve any cash outflow on part of the company but shareholder's can definately realize cash by selling of their bonus shares in the market.
Recent Topic
- Clarification Needed: Reporting Accrued vs Paid FD
- TDS on prize given to participants in Livestock sh
- TDS related matter - 194 IA
- Research: How do CA firms handle GSTR-2B reconcili
- CA FINAL FR IndAS 33 Illustrtion 14
- Taxation on Sale of old Jewellery Received at Marr
- ITR-3 Filling issues
- PF withdrawal and tax liability
- Sale of Goods or Services?
- ITR form query
Related Topics
CAclubindia
