New Delhi, Nov. 3 -- I am a joint venture partner of an Indian FMCG company and live in the Netherlands. Given the strong performance of the company after GST reduction in India, the company would probably declare an interim dividend for the first time in the next board meeting scheduled in early December 2025. I was advised that it will be received by all shareholders by the end of December. Am I liable to pay any advance tax on this dividend income, and if yes, by when?

-Name withheld on request

Under the Indian Companies Act 2013, a private limited company may declare an interim dividend at any time during the financial year, provided it is paid out of the profits earned by the company during that financial year.

Once declared, the ...