TaxTMI 
TaxTMI 
Dividend Distribution Tax Challan- A/Year? Dear Sir, Dividend provision made in balance sheet for the year ending 31-03-2008, AGM held on 30-09-08, Now which assessment year should be shown in Challan no. 280, will it be A/Y 2008-09 as the dividend pertained to A/Y 2008-09 or will it be A/Y 2009-10. Best Regads
Clarification - Assessment year
13 Oct 2008 
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Dividend Distribution Tax: liability arises in the financial year of distribution, so use the subsequent assessment year on challan.
If a dividend provision pertains to a prior balance-sheet year but the dividend is declared or paid in the subsequent financial year, the liability to deposit Dividend Distribution Tax arises in the financial year of distribution and the challan should show the corresponding assessment year. If the wrong assessment year was entered on the challan, write to the Assessing Officer with full details of the declaration, payment and tax paid and request adjustment. (AI Summary)
If a dividend provision pertains to a prior balance-sheet year but the dividend is declared or paid in the subsequent financial year, the liability to deposit Dividend Distribution Tax arises in the financial year of distribution and the challan should show the corresponding assessment year. If the wrong assessment year was entered on the challan, write to the Assessing Officer with full details of the declaration, payment and tax paid and request adjustment. (AI Summary)