transfer of shares at less than book value of a closely held by one shareholder to another shareholder or any other person
This query is : Resolved
08 May 2017
hlo all, can one shareholder of a closely held company transfer his shares to another shareholder or any other person at less than book value .is there any provision attracted..kindly suggest..
08 May 2017
No, A shareholder of closely held company cannot transfer its shares at less than book value because as per section 56(2)(viia) of income tax act if shareholder of any closely held company transfer its shares without consideration or for inadequate consideration in excess of Rs. 50000 then such excess is treated as income under other sources of donee
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
- Sales of goods of amount Rs97 lakhs to a party
- GST rate and HSN code for sale of racing horses
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
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
