Gifting of shares of private limited company
This query is : Resolved
Querist : Anonymous
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?
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?
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.
.
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
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Gst credit note by supplier
- Movement of goods by packers and movers - type of sale - Reg.
- GST on reimbursement of expenses
- Due date for filing return for the partner in partnership subjected to Tax Audit
- Missed uploading GST Invoice
- Query on effect of registration of property
- Gratuity paid to legal heir above 20 lakh is taxable or not
- Wrong CMPo8 file
- Equity Share Sale and Purchase
- Goodwill transfer of deceased father’s firm – ICAI applying a 27.04.2026 cut-off to the 3 year limit
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- "Please ensure that the Total of the Deductions u/s 54F match the same in Table D in Sch CG"
- Need to correct "Whether it is last installment " response in Form 26 QB
- " Income from House Property " in joint names of co-owners
- REGARDING TDS RETURN OF FORM 27Q
- Notice under e-Verification Scheme
- GST demand notice for ITC reversal against exempted supply.
- RCM ON SECURITY CHARGES FROM INDIVIDUALS
- How to get money back from delisted company
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
