banner_ad

Gifting of shares of private limited company

This query is : Resolved 
Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
19 January 2013 We have outstanding loans from shareholders of a pvt limited company which we want to convert into equity share capital of the company. My query

a) If one shareholder (A) transfers his entire shareholding through a gift deed to other shareholder (B) then whether he is liable for any tax in India ?

b) What if company issues equity shares to shareholder (B) against the loan outstanding due to shareholder (A) based on the consent from shareholder (A). Does it amount to waiver of liability and liable for tax in a pvt ltd company?
Profile Image

CA PARAS BAFNA

Profile Image

CA PARAS BAFNA (Expert)
19 January 2013 a).Share Holder B is liable if fair market value of shares exceed Rs. 50000 and A is not his relative.
.
b) Shares can not be issued by the company
to B on behalf of A without receiving any consideration and consent of A is not a good consideration.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news


Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
16 May 2026
Account & Audit Asst

RAHUL KHANDEBHARAD & ASSOCIATES

Nashik

B.Com

View Details
Company
22 May 2026
U.S. Financial Reporting & Consolidation Manager

Karia Overseas

Ahmedabad

CA

View Details
Company
26 May 2026
Audit executive

vdsr & co LLP

Chennai

CA Inter

View Details
Company
14 May 2026
Financial Analyst - Remote Finance Expert

HiringBridge

Ahmedabad

CA

View Details
Company
Featured 28 May 2026
SEMI QUALIFIED/ CA DROPOUTS/ ARTICLES

T R SOOD & CO

New Delhi

CA Inter

View Details
Company
Featured 27 May 2026
Lead Conversion Executive / Sales Closing Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
12 June 2026
Accounts & Taxation Executive

Winshine Financial Services

Mumbai

CA Inter

View Details
Company
26 May 2026
Senior Accountant cum purchase Manager

Vardhaman Group of India

Pimpri Chinchwad

CA Inter

View Details