capital Gain

This query is : Resolved 

19 July 2010 Dear Sir,
If ESOP received by an employee and the company can show it in the perquisits is taken as cost of the shares or not?

20 July 2010 When the company allots esop to its employees then the difference between fmv as on the date of vesting less amount recovered from the employee will be taxed as perquisites in the hands of employee.

when the employee subsequently sells these then the cost of acquisition would be the fmv as on the date of vesting and it would be taxed as capital gains



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