banner_ad

Income TAx Capital Gains

This query is : Resolved 
Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
24 December 2010 say
Mr.A holding 95% of shares in company X
and 85% in comapny Y. Now Mr.A willing to sold 20% stake in Company X at 20/- per share. The market value of share of x is 200/- and book value is 80/-.

Whether is it possible under IT Act, and what r the implications and how to compute capital gains.
Profile Image

CA.Madhusudan B.P.

Profile Image

CA.Madhusudan B.P. (Expert)
25 December 2010 Whether the share are listed in stock exchange ?
How would you determine the matket value of the shares are Rs.200?

If the shares are listed in stock exchange, then the prices are as per the exhcange i,e. you will not sell the shares @ 20, if the rates quoted are Rs.200..... right? Also if the holding period is more than 12 months,(STT charged on listed shares) then no need to compute or pay Capital gain tax as it is exempted u/s 10(38)

On the other hand if it is not listed shares, it (share price)shall be determined by the firm of Chartered Accountants & is not arbitatory figure.
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
ARTICLESHIP 28 May 2026
Accounts, Audit & Compliance Executive

Shyam Joshi & Associates

Pune

B.Com

View Details
Company
ARTICLESHIP 23 May 2026
Article Assistants

Acupro Consulting

Gurgaon

CA Inter

View Details
Company
Featured 26 May 2026
Account Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
ARTICLESHIP 15 May 2026
Audit Assistant / Article Trainee / Intern

SSGS and Associates

Chennai

CA Inter

View Details
Company
12 June 2026
Accounts & Taxation Executive

Winshine Financial Services

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 27 May 2026
CA Article Trainee

Rahul Dang & Associates-Chartered Accountants

Pune

CA Inter

View Details
Company
29 May 2026
Accounts assistant

Shubh Consultancy

Mumbai

Graduate (Any)

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

Karia Overseas

Ahmedabad

CA

View Details