Treatment in Investment(shares) Accounting
This query is : Resolved
01 February 2009
If, when rights to purchase the shares are issued to existing share holders,
what should be the treatment if,
rights are sold to any other person---whether to be treated as income directly and credited to profit&loss a/c (or) to be credited to the cost of investments already existing..........????
what should be the treatment if,
rights are sold to any other person---whether to be treated as income directly and credited to profit&loss a/c (or) to be credited to the cost of investments already existing..........????
02 February 2009
The sale proceeds are to be adjusted against the cost of this right entitlement which is the difference of cum-right price and the ex-right price. The surplus is the capital gain and any deficit will be the capital loss.
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
- About TDS & Income Tax
- Tax on Deemed Capital Gain
- Scrutiny and reopening of past returns
- Pass word to open justification report for Q1 for FY 2026-27
- Section 194JA & JB Income which ITR Form to use
- PPF interest-As Exempt Income disclosure
- Booth for sales promotion
- F & O PROFIT REPORTING FOR AY 2026-27
- Regarding ITR filing with more value than showing in AIS/TIS
- Type of Capital Gain
- Difff in ais receipts and gst turnover
- ITR-3 File/Error Found
- Exiting partner in partnership firm in gst portal
- Taxability of credit in canara bank ET & T section (NRO)
- Consequences of Non-Deduction of TDS under Income Tax???????????????
- TDS on Rent received on redevelopment of building
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- Upload Level ValidationITR3Category of Defect B/D
- PF Taxable Income
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
