Transfer of capital asset

Tax queries 368 views 1 replies

While forming a New partnership firm partners introducing their own assets into the newly formed partnership firm as Capital contribution..Whether it will attract capital gain tax..

Replies (1)

Sec. 45(3): Transfer of capital asset by the partner to the firm as capital contribution is regarded as transfer. The amount recorded in books of accounts of the firm is considered as sales consideration.

so capital gain arises 

hope it helps

 


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register