Share Subscription Date

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This discussion clarifies the correct date to use for share subscription when calculating long-term capital gains. For a private limited company, the date on the Articles of Association (AOA) subscription page is generally used, even if it precedes the incorporation date. However, if there's a discrepancy between an e-MOA subscription date and the actual transaction date, the actual transaction date prevails for capital gains and reporting purposes. For financial year reporting, opening shares are zero until the actual purchase date.

Ankur Aggarwal

Ankur Aggarwal (Querist)
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08 September 2025 Hello Experts, Please guide.

1. In a pvt. limited company, the AOA on the last page showing subscription of shares is undersigned dated 29/06/2007, while the incorporation of the company document mentions 29/07/2007. Which date will be considered to as date on which the shares were subscribed to, to show in the long term capital gain assessment sheet.

2. In another pvt. ltd company, the e-MOA showing subscription of 1000 shares, shows date of subscription as 29/03/2024, while the actual transaction for the purchase of these shares happened on 31/07/2024. Which date is considered actual date of purchase or subscription of shares? For FY 24-25, to report in Unlisted share holding, the opening shares will be 0 or 1000?

Thanks

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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08 September 2025 For the private limited company with the Articles of Association (AOA) subscription date as 29/06/2007 and incorporation date as 29/07/2007, the relevant date for subscription of shares for long-term capital gain (LTCG) assessment is generally considered the date on which the shares were actually subscribed to, i.e., the date mentioned in the AOA as the subscription date (29/06/2007).

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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08 September 2025 In the second private limited company where the e-MOA shows subscription of 1000 shares dated 29/03/2024 but the actual purchase transaction took place on 31/07/2024, the actual date of purchase or subscription for LTCG and reporting purposes is the date when the transaction actually occurred, i.e., 31/07/2024.

For the financial year (FY) 2024-25, the opening shares holding would be 0 because the shares were purchased after the start of FY 24-25, thus they will be recorded as opening shares from the date of actual purchase (31/07/2024) onward.

Ankur Aggarwal

Ankur Aggarwal (Querist)
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08 September 2025 Thanks you sir
Always great full for your guidance

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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08 September 2025 You are welcome.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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20 September 2025 Good Luck..

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