RBI

RBI prohibits banks from dividend declaration for FY ended 31.03.2020

RBI prohibits banks from dividend declaration for FY ended 31.03.2020

RBI prohibits banks from dividend declaration

RBI has prohibited banks from making any further dividend declaration/payouts from the profits pertaining to the financial year ended March 31, 2020 until further instructions.

In India, Banks have been granted general permission to declare dividends, subject to compliance with the RBI guidelines. As per Notification issued by the RBI, the said restriction, has been necessitated by heightened uncertainty caused by COVID-19.

The step was taken to ensure that that banks could conserve capital to retain their capacity to support the economy and absorb losses.

It is stated that the restriction shall be reassessed by the Reserve Bank based on the financial results of banks for the quarter ending September 30, 2020.

Read RBI Notification Click Here >>

Share

Recent Posts

  • Income Tax

Only actual days of services to be considered in computing threshold for constitution of PE

Only days on which actual services rendered by company to be considered in computing threshold for constitution of permanent establishment…

8 hours ago
  • Income Tax

Depreciation on goodwill to amalgamated company upheld as AO took a plausible view

Depreciation on goodwill in the hands of amalgamated company upheld as Assessing Officer had taken a plausible view in line…

11 hours ago
  • ICAI

Applicability of the Income-tax Act, 2025 from May 2027 CA Exams Onwards 

The ICAI has announced that provisions of the Income-tax Act, 2025 shall be applicable to CA exams conducted from 1st…

11 hours ago
  • Income Tax

Addition u/s 68 deleted for want of cash trail, fund rotation or incriminating evidences

Addition u/s 68 deleted as there was no cash trail, rotation of funds, or incriminating evidences, no enquiry conducted into…

12 hours ago
  • Income Tax

In re-allotment of flat by builder, stamp duty valuation is of the date of booking original flat

In case of re-allotment of flat by builder, stamp duty valuation would be with reference to date of booking of…

14 hours ago
  • Income Tax

Information in loose papers not corroborated with assessee, can’t be said to belong to assessee

When information contained in loose papers not corroborated with assessee, there is absolutely no room for presumption that it belongs…

2 days ago