Tax Treatment
Tax treatment of dividends varies from territories to territories. For instance, in India, dividends are tax free in the hands of the shareholder, but the company paying the dividend has to pay dividend distribution tax at 12.5%. There is also the concept of a deemed dividend, which is not tax free. Further, Indian tax laws include provisions to stop dividend stripping.
Read more about this topic: Share (finance)
Famous quotes containing the words tax and/or treatment:
“I come into the peace of wild things
who do not tax their lives with forethought
of grief.”
—Wendell Berry (b. 1934)
“Any important disease whose causality is murky, and for which treatment is ineffectual, tends to be awash in significance.”
—Susan Sontag (b. 1933)