Dividend

1. Dividend may be paid out of current profit, or out of previous year/s profit or out of money provided by the C.G. or by S.G. for the payment of dividend, after providing for the provisions for the depreciation and transfer to reserve.

2. Recommended by the Board.

3. Closure of register of members U/s 154 of the Act or fix a record date by giving at least 7 days newspaper advertisements, one in English and one in Local language.

4. Declared by the AGM

5. Once Declared by the AGM it becomes a debt on company

6. Open a separate Bank account & deposit the amount of dividend to the account with 5 days of recommendation of board. Account Name “XYZ Co. Pvt. /Ltd. Dividend Account.”

7. The AGM may approve the rate of dividend at the rate lower then the recommended.

8. The Dividend Tax is to be deposited with 14 days of its approval in AGM.

9. The dividend should be paid either in cash or kind to the members within 30 days from the date of AGM, except in cases as specified in the Act.

10. Dividend should be paid either by cheque or by dividend warrant.

11. If the dividend is not paid within 30 days the same may be deposited in a separate bank account named “XYZ Co. Pvt. /Ltd. Unpaid Dividend Account.”

12. If