The same rental value can be determined by the calculation of the return that A expected to sell the property and invest the product. This finding is based on a 15% return (taking into account the different risks). Based on these factors, the rental price is $1,750 per month. A also decides that he will put his salary at $4,000 per month, which he considers a fair amount for the benefits that are provided. A should document these decisions in the company`s minutes and have a valid real estate lease established by his lawyer. Businesses in Russia are subject to corporate tax, which also includes tax on dividends. As a result of the latest developments, the taxation of dividends in Russia has been changed with regard to tax rates. At the 2019 level, the federal dividend rate is set at 13% for companies that do not qualify for the 0% rate, while foreign companies are taxed at a rate of 15% when they hold shares in Russian companies. 2. In short, the fact is that the notator is an architect and that the return of income was deposited, which explains the total income of Rs.23,80,520/- During the evaluation procedure, the notator found that the notator had received substantial amounts from three companies in which he was a director and a major shareholder. As the evaluator was not satisfied with the evaluator`s statement, the amount of Rs 15,43,634 was received by M/s. Designarch Infrastrucutre Pvt.
Ltd., rs.26.00.000/- received by M/s. Designarch Consultants Pvt. Ltd. and Rs.53,633/-from M/s. Jinendra Securities Pvt. Ltd. was added in the form of a dividend under Section 2(22) (e) of the Incom Tax Act, 1961. The notator received from M/s. Jinendra Securities Pvt. Ltd. 1.35,000 Rus, but since the cumulative earnings were only Rs.—, the A.O. limited the addition to that amount alone.
Without the dividend rent regulation, a company would be able to use the dividend deduction within the group and place itself in a more favourable tax position without additional risk. This result is contrary to the intent of the law. Under the Income Tax Act (Canada) (the “tax law”), a capital corporation can generally deduct, subject to certain exceptions, an amount equal to the amount of a taxable dividend it receives for a share of a Canadian corporation (the “dividend deduction”). The purpose of the dividend deduction is to prevent several levels of Canadian income tax from being distributed by one company to another.