Dividend taxability- Which FY to consider

[tarun2]

Let’s say ex date for a stock is 29 March 2024, but dividend was paid out on 4th May 2024. So in which Financial year should this dividend income be considered for taxation purposes?

Actual example: Ashok Leyland

Date of board meeting: March 25, 2024
Dividend ex-date: April 03, 2024
Bank credit date: April 18, 2024

In AIS and 26AS, it is being reflected for FY 2023-24.

[neha1101]

Tax on dividend is calculated on based of which date

I recieved some dividend amount from Ashok Leyland last year. The dividend was declared on 25th Mar 2023 but it was paid to my account on 18th Apr 2024. Since the declration was on last financial year but I received the amount in my bank in new financial year, am I liable to pay taxes on this amount. ? P.S My 26AS shows an entry with this amount and also on income tax portal this amount is prefetched for tax payments

[Quicko]

Hey @tarun2,

If the Form 26AS reflects such income in FY 23-24, then it must be reported in the same financial year.