Hi friends! I have a doubt to the below query!
(i)A company named say "X company limited(unlisted company)" earns dividend of Rs.100/- in a year from investment in shares in a stock market and they incur expenses of Rs.60/- on account of salary, rent etc for the said year. Also it pays a dividend of Rs.20/- in that year. What is its tax liability? Also how much is its dividend distribution tax?
(ii) If it is having 51% in a subsidiary company(unlisted company) and earns dividend of Rs.100/- in a year from investment in shares in a stock market and they incur expenses of Rs.60/- on account of salary, rent etc for the said year. Also it pays a dividend of Rs.20/- in that year. What is its tax liability? Also how much is its dividend distribution tax?
Please reply at the earliest. Thanks in advance.
CAclubindia
