TaxTMI 
TaxTMI 
Tax on distributed profits of domestic companies
X X X X Extracts X X X X
X X X X Extracts X X X X
...., 2003 ^18[but on or before the 31st day of March, 2020], whether out of current or accumulated profits shall be charged to additional income-tax (hereafter referred to as tax on distributed profits) at the rate of ^3[fifteen] per cent:] ^15[Provided that in respect of dividend referred to in sub-clause (e) of clause (22) of section 2, this sub-section shall have effect as if for the words "fifteen per cent.", the words "thirty per cent." had been substituted;] ^6[(1A) The amount referred to in sub-section (1) shall be reduced by,- ^11[(i) the amount of dividend, if any, received by the domestic company during the financial year, if such dividend is received from its subsidiary and,- (a) where such ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....is Act, the tax on distributed profits under sub-section (1) shall be payable by such company. (3) The principal officer of the domestic company and the company shall be liable to pay the tax on distributed profits to the credit of the Central Government within fourteen days from the date of- (a) declaration of any dividend; or (b) distribution of any dividend; or (c) payment of any dividend, whichever is earliest. (4) The tax on distributed profits so paid by the company shall be treated as the final payment of tax in respect of the amount declared, distributed or paid as dividends and no further credit therefor shall be claimed by the company or by any other person in respect of the am....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... current profits up to the specified date. Explanation.-For the purposes of this sub-section,- (a) "specified domestic company" means a domestic company in which a business trust has become the holder of whole of the nominal value of equity share capital of the company (excluding the equity share capital required to be held mandatorily by any other person in accordance with any law for the time being in force or any directions of Government or any regulatory authority, or equity share capital held by any Government or Government body); (b) "specified date" means the date of acquisition by the business trust of such holding as is referred to in clause (a).] ^14[(8) Notwithstanding anything contained in this section, n....
X X X X Extracts X X X X
X X X X Extracts X X X X
....thstanding anything contained in any other provision of this Act and subject to the provisions of this section, in addition to the income-tax chargeable in respect of the total income of a domestic company for any assessment year, any amount declared, distributed or paid by such company by way of dividends (whether interim or otherwise) on or after the 1st day of June, 1997 but on or before the 31st day of March, 2002, whether out of current or accumulated profits shall be charged to additional income-tax (hereafter referred to as tax on distributed profits) at the rate of ten per cent." Earlier, Amended vide Section 53 of the Finance Act, 2000 w.e.f. 01-06-2000 And was Amended vide Section 55 of the Finance Act, 2001 w.e.f.....
X X X X Extracts X X X X
X X X X Extracts X X X X
....rted vide Section 56 of the Finance Act, 2012 w.e.f. 01-07-2012 9. Substituted vide Section 56 of the Finance Act, 2012 w.e.f. 01-07-2012 before it was read as, "paid tax under this section on such dividend; and" 10. Omitted vide Section 56 of the Finance Act, 2012 w.e.f. 01-07-2012 before it was read as, "(c) the domestic company is not a subsidiary of any other company:" 11. Substituted vide Section 30 of the Finance Act, 2013 w.e.f. 01-06-2013 before it was read as, "(i) the amount of dividend, if any, received by the domestic company during the financial year, if- (a) such dividend is received from its subsidiary; ^8[and] (b) the subsidiary has ^9[paid the tax which is payable under....