In case of gift of shares, is it compulsory to mention market value / cost to the donor in gift deed?
In case of gift of shares, is it compulsory to mention market value / cost to the donor in gift deed?
Ideally Yes Abhilasha...you should mention it. However, if they are listed shares, you may opt not to mention it also, since the value of the shares is readily available.
But still, even for listed shares, it is advisable to mention it
Okay, so your suggestion is to mention market value from BSE etc in case of listed shares and in case of unlisted shares, we need to do valuation as per rule 11 UA of income tax rules and mention acccordingly..
Am I interpreting it correct?
Yes...you are right...
The reason is to avoid any descripancy and to have a certain value to the gift.
ya, agreed with ankit.. u should do the valuation to find the value of gift....!!!
CAclubindia
