Capital gain on transfer of shares
This query is : Resolved
06 August 2012
Res. sir/mam,
Kindly reply me urgent of my following quary.
I have invested Rs. 15 lacs in Pvt. Ltd. Co. before 5 years from this date.The shares were issued at the face value. The Total Share Capital of the company is Rs. 90 Lacs and Share Premium is Rs. 200 Lacs. The Balance in Profit & Loss A/c. is Rs. 18 Lacs (Cr. Balance).
Now If I have to transfer the shares to other dirctor of the company at Rs. 25/- per shares then Capital Gain Tax will be attracted? If Yes, then the indexation cost will be considered or not? whether it is trated as LTCG and Exempted?
Kindly reply me urgent of my following quary.
I have invested Rs. 15 lacs in Pvt. Ltd. Co. before 5 years from this date.The shares were issued at the face value. The Total Share Capital of the company is Rs. 90 Lacs and Share Premium is Rs. 200 Lacs. The Balance in Profit & Loss A/c. is Rs. 18 Lacs (Cr. Balance).
Now If I have to transfer the shares to other dirctor of the company at Rs. 25/- per shares then Capital Gain Tax will be attracted? If Yes, then the indexation cost will be considered or not? whether it is trated as LTCG and Exempted?
06 August 2012
1. capital gain shall be attracted on the sale of such shares. Gain shall be Long term (LTCG).
2. Indexation benefit shall be available.
3. LTCG is exempt only if STT has been paid on the transfer, i.e., shares are sold through a recognised stock exchange.
Since in this case, shares must not have been listed, STT will not be applicable and accordingly gain shall not be exempt.
2. Indexation benefit shall be available.
3. LTCG is exempt only if STT has been paid on the transfer, i.e., shares are sold through a recognised stock exchange.
Since in this case, shares must not have been listed, STT will not be applicable and accordingly gain shall not be exempt.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- CAPITAL GAIN BASE ON NOTIFICATION
- Form 140 tds
- Taxable or Tax exempt
- ADVANCE PAYMENT OF ADVOCATE
- NRI starting business in India
- ITDS U/S.194T of Firm
- CREDIT NOTES WITHOUT GST
- GST not cancelled by tenant
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- FORM 141 SDV query
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
- Experienced CA recommendation from Kolkata for FNO return filing
- Interest Reporting in Form 168
- Sales of goods of amount Rs77 lakhs to a party
- Tax Demand of ₹4,650 for AY 2026-27
- Concept of Vendor and customner reconciliation
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
