Tax on share premium

If yours is a closely held company then any consideration received in excess of fair value of shares on issuance of shares will be treated as income under the head "Income from Other Sources". The said amendment is introduced by Finance Bill 2012.

Thanx for your reply. Mine is a pvt ltd company.. How I will determine whether consideration received is in excess or deficit or at par to the fair market value? How is this fair value will be calculated in my case?