Aurobindo Pharma's Reddy transfers holding to trustee company

FM Arun Jaitley has imposed a 10% tax on dividend income on shares held by trusts

Aurobindo Pharma founder P V Ramprasad Reddy, who together with his wife P Suneela Rani holds 36.64 per cent of the company's shares, last month initiated succession planning, which also doubles up as a tax planning move just before the imposition of a 10 per cent tax on dividend income from shares held by trusts.

On January 19, Suneela Rani transferred all the 196.37 million shares, 33.56 per cent of the total shareholding, to RPR Sons Advisors Private Limited, a trustee company of the family trust set up by Reddy.

Finance Minister Arun Jaitley has imposed a