Section 56(2)
This query is : Resolved
13 August 2013
If a pvt. ltd. company purchases shares of other pvt. ltd. company at a value less than FMV, then section 56(2) is applicable or not
14 August 2013
Section 56(2)(viia) applies when shares of a PRIVATE COMPANY are acquired by another PRIVATE COMPANY without consideration or for a consideration which is LESS than the FMV by an amount exceeding Rs. 50,000
Accordingly, if the difference between the FMV and the consideration exceeds Rs. 50,000 then Section 56(2)(viia) will be applicable and the whole FMV shall be the income of the purchaser company.
Accordingly, if the difference between the FMV and the consideration exceeds Rs. 50,000 then Section 56(2)(viia) will be applicable and the whole FMV shall be the income of the purchaser company.
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
- ITR 2 Short Term gain & Long term gain
- Reporting Income under Section 44ADA
- Itr 1 processing
- Off Market debit and credit transaction
- Showing Gift from relative in ITR for this year
- ITR validation error - Balance sheet is not filled
- ITR 1: Details for showing Exempt Income
- Share accounting-->fifo - capital gain - period as per fifo?
- ITR selection for salaries and capital gain less than L
- ITR returnFY25-26
- NRE Interest Income applicability
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Query regarding TDS on EPFO Higher Pension Arrears*
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
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
