https://www.taxtmi.com/manuals?id=1216 Distribution by a company to its shareholders on reduction of share capital is treated as dividend to the extent of accumulated profits, whether capitalised or not. The provision applies where there is a company, a capital reduction, a distribution to shareholders, and accumulated profits. The amount distributed may also have capital gains implications because the shareholder's rights in the shares are extinguished. The distributed amount is treated as having two components: one attributable to accumulated profits and the other to capital. en-us Wed, 23 Sep 2015 16:42:00 +0530 Wed, 17 Jun 2026 17:12:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/manuals?id=1216 Distribution by a company to its shareholders on reduction of share capital is treated as dividend to the extent of accumulated profits, whether capitalised or not. The provision applies where there is a company, a capital reduction, a distribution to shareholders, and accumulated profits. The amount distributed may also have capital gains implications because the shareholder's rights in the shares are extinguished. The distributed amount is treated as having two components: one attributable to accumulated profits and the other to capital. Manuals Income Tax Wed, 23 Sep 2015 16:42:00 +0530 https://www.taxtmi.com/manuals?id=1216