Bank pays interest periodically for the money kept in your savings account. Interest on saving account is automatically credited based on the balance maintained in your A/c.However, due to busy schedules, many taxpayers never look into their savings account statements to find the amount of interest credited.Interest on the savings account is calculated daily on the … [Read more...] about Taxation of Savings Account Interest: Limits, Deductions, and Reporting Requirements
Trading Session: Opening and closing time of BSE and NSE share markets
Trading session is a period starting from the market's opening bell to its closing bell. It's the primary daytime trading hours of a stock exchange. Beginners should be aware of trading session hours for any financial securities that they are interested in trading.Different markets such as futures, currencies, commodities and stocks have different trading sessions for a … [Read more...] about Trading Session: Opening and closing time of BSE and NSE share markets
When and how bonus shares are issued to shareholders
Instead of paying a cash dividend, a company might decide to go for a bonus issue of shares. It's a stock dividend allotted by the company to its shareholders out of the reserves of the company.Each existing shareholder of the company will get free shares against that they currently hold.One of the most important reasons why a company issues bonus shares is that it … [Read more...] about When and how bonus shares are issued to shareholders
When and why companies pay dividend
A company can pay a dividend to its shareholders out of profits made by the company during the financial year. A company can also pay dividend out of its cash reserve in case of loss or not having adequate profit to pay dividend. It's up to the management.Dividends are paid per share basis to the shareholders. It can be paid anytime during the financial year. If … [Read more...] about When and why companies pay dividend
Rights issue – All you need to know
The main purpose of the rights issue is to increase additional share capital from the existing shareholders. The company might take this path if they have decided not go public to raise additional capital.Existing shareholders can participate in the rights issue in the proportion of their shareholding. For example: if a company has decided to go for 1:2 rights … [Read more...] about Rights issue – All you need to know