3 indian residents own stake in a company incrporated in Dubai free trade zone as FZCO. During the year such company has earned profits. Now in the books of individual such profits needs to recorded so that "investment in FZCO" balance matches with the capital a/c in such company. Please note that no profits has actually been repatriated to India. Just a journal entry is passed to match balance.
Will indian residents needs to pay tax in india on such profits earned by company, but not recived?
CAclubindia
