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Applicability of Sec 56 (vii) , Income Tax |
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Applicability of Sec 56 (vii) |
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An existing private ltd company issuing further shares to only few existing shareholder at face value.??
Weather this attracts Sec 56(vii) ?
Posts / Replies Showing Replies 1 to 1 of 1 Records Page: 1
The provisions do not talk about the face value. It talk about the fair market value. In general as I understand, fair market value may not be more than fair market value in case of ongoing company. The income is taxable which is in excess of fair market value. It is a question of facts. But, you have fair chance to prove your side. Page: 1 Old Query - New Comments are closed. |
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