https://www.taxtmi.com/caselaws?id=6959 Where dividend is distributed in specie as shares, the taxable value is the market value of the shares on the date the dividend is declared, because the shareholder's right and corresponding benefit accrue on that date. The nominal amount stated in the dividend resolution or accounts is not controlling, and the later date of transfer or actual receipt is immaterial because the recipient takes the shares subject to market risk after declaration. Tax therefore attaches to the value of the property received, not to the book value assigned in the resolution. en-us Fri, 25 Aug 1967 00:00:00 +0530 Sat, 07 Feb 2009 11:42:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=6959 Where dividend is distributed in specie as shares, the taxable value is the market value of the shares on the date the dividend is declared, because the shareholder's right and corresponding benefit accrue on that date. The nominal amount stated in the dividend resolution or accounts is not controlling, and the later date of transfer or actual receipt is immaterial because the recipient takes the shares subject to market risk after declaration. Tax therefore attaches to the value of the property received, not to the book value assigned in the resolution. Case-Laws Income Tax Fri, 25 Aug 1967 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=6959