Equity Share

Tax Glossary Definition

Equity Share

An equity share is a type of ownership in a company, giving the shareholder a proportionate claim on profits and voting rights in company decisions. Equity shareholders are also entitled to receive dividends, which vary based on the company’s performance.

Example: If you hold equity shares in a company, you receive dividends depending on the profits declared, and you can vote in shareholder meetings on company matters.

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