The Influence of Taxation Objectives Towards Diversifying Profitability For Dividend of The Firm: Business Trends

Abstract

The taxation system has so complicated itself by covering several topics under a single head, sub-heads and numerous ways of calculations with certain different assumptions become difficult to understand for anyone because of regularly amended, edited many Acts and articles, added more sections and sub- sections, and provisions etc. which make changes in structure, in the rate, and the amount of the slab with the changing of the business environment too. Despite this, it becomes a challenge to choose a topic as keen research by the researcher for the long-lasting valid and effected in the present and future dilemma of research. The research entitled “the influence of taxation objectives towards diversifying profitability for a dividend of the firm: business trends in India” has its trifling nature of research which connected with certain objectives of taxation policies for diversifying profit and fulfilling the promises towards various parties. Profit diversification is the newly born concept in the business scenario with the issue to make it possible to connect with taxation especially its objectives for the payment of dividends by the firm or organization. It is the responsibility of the corporate assesses not only to check the prevailing provisions in the Acts and past effects on their profit, how to diversify and fulfill the commitment towards various parties especially for the payment of dividends to the shareholders or the investors. They want to get more and more tax benefits from the recent avail of fundamental with new provisions of taxation objectives of the Income Tax Act for tax avoidance. Many researchers work on these concepts of taxation differently i.e., taxation objectives, diversification, profitability, profit diversification, and dividend differently, and few combined one and another whereas few concepts are left un-touch and not fully solved. I have tried to connect all concepts in a significant way to make meaning full values for research and try to exist the relationship which will make it unique itself. The influence of taxation objectives towards profit diversification for the dividend of the firm which type of relationship has existed based on the empirical investigation of the research. The qualitative and quantitative both are found necessary to make proof the research authentic and valid which is considered for the significant research to go ahead as mixed approaches. The data of the Indian taxation system has been compiled in a manner by using sophisticated tools for analyzing the research in simplest form from complicated abundant data by dividing the period as traditional and modern taxation policies period has three decades each.