Cross-examination rights in Customs Broker revocation inquiries require witness examination; procedural denial may be cured through fresh adjudication...
Governmental authority status supports construction-service exemption, while pre-cutoff contract and stamp-duty compliance requires verification on re...
Automated Free Sale and Commerce Certificates enable paperless processing while retaining risk-based manual verification for selected exporter applica...
Deemed-dividend treatment requires a payment by a closely held company to have the character of a loan or advance to a substantial shareholder. Where a running account shows a continuous credit balance in the shareholder's favour, payment by the company discharges its pre-existing liability rather than creating shareholder indebtedness. Repayment or withdrawal against amounts already due to the shareholder therefore does not constitute deemed dividend. The real nature of the current account and movement of funds must be assessed; a payment's classification cannot rest solely on money moving from company to shareholder. Absence of a loan agreement, interest terms or board approval does not convert repayment into a loan or advance.
Deemed-dividend treatment requires a payment by a closely held company to have the character of a loan or advance to a substantial shareholder. Where a running account shows a continuous credit balance in the shareholder's favour, payment by the company discharges its pre-existing liability rather than creating shareholder indebtedness. Repayment or withdrawal against amounts already due to the shareholder therefore does not constitute deemed dividend. The real nature of the current account and movement of funds must be assessed; a payment's classification cannot rest solely on money moving from company to shareholder. Absence of a loan agreement, interest terms or board approval does not convert repayment into a loan or advance.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4886 
