Transfer of share of unlisted company

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

17 September 2012 Dear Sir,

Can I buy a share of Company below the book Value is Rs. ( Book Value 90 (Sahre Premium) + 10 Face Value)=100, Please let me know differential value of this share shall be add in mine income as per income tax amendment June 2012.
Status Individual & HUF

This amendment apply only on Companies, Firm( Partnership & Proprietor Ship)Trust LLP?

Neeraj Gupta

CA AYUSH AGRAWAL

CA AYUSH AGRAWAL (Expert)
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17 September 2012 Section 56 was amended to provide for deemed income in case any individual or HUF received any property without consideration or at a price less than fair market value on or after 01.10.2009.

the fair market value of unquoted shares and securities other than equity shares in a company which are not listed in any recognized stock exchange shall be estimated to be price it would fetch if sold in the open market on the valuation date and the assessee may obtain a report from a merchant banker or an accountant in respect of such valuation.'.

hares and securities other than unquoted equity shares that is preference shares, bonds, debenture etc. to be valued at price which it will fetch if sold in open market. The assessee may obtain valuation report from a merchant banker or from a CA.