https://www.taxtmi.com/caselaws?id=336046 The High Court of Karnataka approved the reduction of share capital under Sections 100-104 of the Companies Act, 1956, and Section 52 of the Companies Act, 2013. The shareholders resolved to reduce the paid-up share capital, utilizing securities premium reserves and profits. The Court addressed tax implications, specifically the Dividend Distribution Tax, directing the company to promptly deposit the tax liability with the Income Tax Authority. Both the Registrar of Companies and the Income Tax Department did not object to the reduction but stressed the importance of tax compliance. The Court sanctioned the reduction and required registration and publication to meet legal obligations. en-us Fri, 25 Nov 2016 00:00:00 +0530 Thu, 15 Dec 2016 15:18:22 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=336046 The High Court of Karnataka approved the reduction of share capital under Sections 100-104 of the Companies Act, 1956, and Section 52 of the Companies Act, 2013. The shareholders resolved to reduce the paid-up share capital, utilizing securities premium reserves and profits. The Court addressed tax implications, specifically the Dividend Distribution Tax, directing the company to promptly deposit the tax liability with the Income Tax Authority. Both the Registrar of Companies and the Income Tax Department did not object to the reduction but stressed the importance of tax compliance. The Court sanctioned the reduction and required registration and publication to meet legal obligations. Case-Laws Companies Law Fri, 25 Nov 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=336046