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Declaration of Dividend According to the Companies Act 2013 Along with Applicable Provisions of the Companies Act 1956

The paper seeks to highlight the various provisions related to declaration and payment of dividend in a composite manner. The dividend related provisions are running through transitional phase and Sections 124 and 125 of the Companies Act 2013 are yet to be notified, hence till then corresponding sections of the Companies Act 1956 and rules thereof will be in force and we need to interpret both the Acts in a harmonious and constructive way for better compliance of the provisions. Explorative research method has been used in this paper. The paper concludes that new Companies Act has clarified most of the dividend related issues.