Taxation on gold transfer

I think Fair market value on the date of conversion is the consideration for taxing the capital gains  for a capital asset converted into stock in trade  charging section 45(2)

but sir the partner was earlier doing jewelry business only. so the gols is held as stock in trade. SIT is transferred as SIT and comapny is also using it as its stock 

Please placed the question correctly at first you said director then you are saying partner????

At first you said personal gold now you are saying Stock in trade gold.

Please placed the question correctly carefully otherwise you never ever get the correct answer from our end.............

i m really sorry sir, he is a director and earlier was doing business of gold jewelery. now he became a director in a company  and is also a share holder in the comapny of 33% share, now he transfers his stock to busi in which he is a director as well as share holder. and company uses that gold as stock only. plz guide

If stock in trade transferred to as stock in trade with consideration(i.e. paying money) then it will be added as turnover of the transferer company and it will be taxable under the head "PGBP" not Capital Gain.

really appericiated ur answer sir but the gold has not been provided against consideration.

Income tax is chargeable on income so if there is no cosideration received by transferer then there is no question for income tax.

Transferer has to make a zero value entry in Book of Accounts.

thank u so much sir, what will happen when the company will sell the stock, will there be any tax implication in the hands of director

thank u so much sir, what will happen when the company will sell the stock, will there be any tax implication in the hands of director