Declaration of dividend

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... depreciation in accordance with the provisions of sub-section (2), or out of the profits of the company for any previous financial year or years arrived at after providing for depreciation in accordance with the provisions of that sub-section and remaining undistributed, or out of ^2[both:] ^3[Provided that in computing profits any amount representing unrealised gains, notional gains or ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....by the company to the free reserves], such declaration of dividend shall not be made except in accordance with such rules as may be prescribed in this behalf: Provided also that no dividend shall be declared or paid by a company from its reserves other than free reserves: ^1[Provided also that no company shall declare dividend unless carried over previous losses and depreciation ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nancial year up to the end of the quarter immediately preceding the date of declaration of interim dividend, such interim dividend shall not be declared at a rate higher than the average dividends declared by the company during immediately preceding three financial years.] (4) The amount of the dividend, including interim dividend, shall be deposited in a scheduled bank in a separate account wi....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... shall not, so long as such failure continues, declare any dividend on its equity shares.     ************* NOTES:- 1. Inserted vide Section 10 of the Companies (Amendment) Act, 2015 w.e.f. 29-05-2015 (Notified vide Notification No. S.O. 1440(E) dated 29-05-2015) 2. Substituted vide Section 32 of the Companies (Amendment) Act, 2017 w.e.f. ....