If a private limited company transfers plant & machinery to a proprietorship concern without consideration, than what are the implications of capital gain in the hands of private limited company?
Menu
Capital gain on transfer of asset without consideration
Replies (4)
Transferring Plant & Machinery will have no tax treatment. It will be considered as gift & therefore is not considered as transfer u/s 47.
Cost of acquisition in the hands of proprietor will be cost in the hands of previous owner u/s 49(1). Capital gain will be computed in the hands of proprietor when he will sold the P&M.
Transferring Plant & Machinery will have no tax treatment. It will be considered as gift & therefore is not considered as transfer u/s 47.
Cost of acquisition in the hands of proprietor will be cost in the hands of previous owner u/s 49(1). Capital gain will be computed in the hands of proprietor when he will sold the P&M.
| Originally posted by : Gagan Deep Singh | ||
 |
Transferring Plant & Machinery will have no tax treatment. It will be considered as gift & therefore is not considered as transfer u/s 47. Cost of acquisition in the hands of proprietor will be cost in the hands of previous owner u/s 49(1). Capital gain will be computed in the hands of proprietor when he will sold the P&M. |
 |
agreed.. :)
If there is only one P&M in block then the block become zero and balance will be teated as short term capital loss. Otherwise agreed with Gagan Deep Singh
Recent Topics :
- TAX TREATMENT AND ACCOUNTING ENTRIEOF PERQUISITES
- Gifting money to my father-in-law (my husband's da
- GSTR-1 JSON from marketplace exports (Myntra / Ama
- Question on buy back of shares
- Saving corporate tax completely on profit from rea
- Hi experts need some helps
- A query regarding GST and Place of Supply:
- ADT-3 not filed by previous Auditor
- Revising salary on 24Q Q4 FY 25-26
- LTCG: Home Loan Principal Repayment?
Related Topics :
CAclubindia
