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Capital gain

Narendra mahadev hegde (ARTICLESHIP STUDENT) (246 Points)

12 March 2018

Mr.X transferred share to Mr.B is a son of Mr.X without consideration(not through Recognised Stock exchange) , consequently Mr.B transfer the share to his friend .....is Mr.X liable to Capital gain tax?

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2 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (160835 Points)
Replied 13 March 2018

YES

abeertiwari (ca) (310 Points)
Replied 13 March 2018

exemptions rules has been changed from financial year 2017-18...for claiming exemption u/s 10(38) your father must has bought these shares from recognised stock exchange i.e STT paid.then you will get exemption.
for transfer between mr B and his friend if it is from recognised stock exchange i.e STT paid then it is exempt but it should be LTCG.if short term then fully taxable no exemption