Capital gain

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

17 August 2018 Sir
I am a share holder of a private limited company since incorporation. Now the book value of each share is Rs. 80 and face value is Rs. 10. Can I transfer some of my share to other person (not relative) at face value. If yes then how much tax I have to pay or the buyer have to pay.

Nikhil Kaushik online

Nikhil Kaushik online

(Expert)
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18 August 2018 no you cannot. however, you should look at the indexed value. the gap between indexed value and book value will be considered as other income for the recipient and capital gains for the seller.

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