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2013 (7) TMI 11 - AT - Income TaxValuation of converted share of Off-shore India Ltd. - assessee has taken two contradictory methods for valuation of the same share for the same assessment year - CIT(A) deleted the addition - case of the assessee is that it values unquoted shares on the basis of fair market value, which is in case of unquoted shares determined on the basis of break-up value of the last available balance- sheet - Held that:- In the instant case, shares of two companies were converted as on 01.04.2003 from investment to stock in trade. Both these shares were valued at fair market value being less than cost as on 31.03.2003 and the same was duly accepted by the department. On the very same value, the said shares were converted into stock in trade on the immediately next date i.e. 01.04.2003. Thus, the shares were converted into stock in trade on the fair market value as on the date of conversion. Out of the shares of two companies which were converted on the same system, the department has accepted the system as correct in the case of Yield Investments Pvt. Ltd. and has disputed only in the case of Off-Shore India Ltd. As on 01.04.2003, the fair market value of Off-Shore India Ltd. was determined on the basis of break-up value of last available balance-sheet as on that date, which was also accepted by the Revenue as the market value as on 31.03.2003, there was no reason to dispute that the same was not the market value as on 01.04.2003 on the basis of data available on that date. Thus, no specific error in the order of the CIT(A) could be pointed out by the Revenue by bringing any relevant material on record - ground of Revenue is dismissed.
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