---
title: For an existing company with an accumulated loss on the balance sheet but a profit in the current year. Will they be able to pay themselves a dividend?
description: "No, they can't. They must first offset the previous year's losses before declaring any remaining profit (if any) as dividends."
url: "https://xerosoftglobal.com/docs/for-an-existing-company-where-there-is-an-accumulated-loss-in-the-balance-sheet-but-has-profit-in-the-current-year-would-they-be-able-to-pay-dividend-to-themselves/"
updated: "2024-01-23"
category: Corporate Secretary
---

# For an existing company with an accumulated loss on the balance sheet but a profit in the current year. Will they be able to pay themselves a dividend?

No, they can't. They must first offset the previous year's losses before declaring any remaining profit (if any) as dividends.