In a scheme of buy back of shares, XYZ Ltd., a listed company, paid ₹ 6 lakh to a shareholder X on 12-3-2019. The distributed income received by X who had bought these shares 2 years back will be
A. Taxable in full
B. Fully exempt in the hands of Mr. X
C. Taxable @ 20% in the hand of company u/s 115QA
D. Both (b) and (c)
Answer:D
In a scheme of buy back of shares, XYZ Ltd., a listed company, paid ₹ 6 lakh to a shareholder X on 12-3-2019. The distributed income received by X who had bought these shares 2 years back will be
A. Taxable in full B. Fully exempt in the hands of Mr. X C. Taxable @ 20% in the hand of company u/s 115QA D. Both (b) and (c)