Dividend Income - (New) Section 92(2)(a) / (Old) Section 56(2)(i)

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....ent or disrtibution by the company to its shareholder are deemed as dividend to the extent of accumulated profit of the company. • a. Dividend Distribution of Accumulated Profits Through Release of Company Assets [ For further details, refer to this chapter ] • b. Distribution of Debentures, Deposit Certificates, and Bonus Shares as Deemed Dividend. [ For f....

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....g company to the shareholders of the demerged company, whether or not there is a reduction of capital in the demerged company. Taxability Dividend has been chargeable under the head of "Income from other Sources". it is taxable in the hands of shareholder.  Under Section 56(2)(i) of the Income Tax Act, 1961 [ Upto 31.03.2026 ] Dividend from an Indian Company is taxable in the hand....

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....n on Reduction of Capital as Deemed Dividend. [ For further details, refer to this chapter ]  • e. Deemed Dividend: Loans and Advances to Significant Shareholders and Related Concerns. [ For further details, refer to this chapter ]  Following shall not be treated as Dividend • a. Any payment made by a company on purchase of its own sh....