DECLARATION OF DEVIDEND

[Kajal Mehta]

CAN DEVIDEND DECLARED OUT OF GENERAL RESERVE?

 

AI Summary

Dividends Can Be Declared from General Reserves if Compliant with Companies (Declaration out of Reserves) Rules 1975. A query was raised regarding the declaration of dividends out of general reserves under corporate law. The response clarified that it is permissible, provided it complies with the Companies (Declaration out of Reserves) Rules 1975.