Capital Gains

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

11 July 2011 IN a Pvt Ltd Company there are 3 shareholders - MR.X, his wife and his Son with a holding of 60%, 30% and 10% equity shares. If Mr. X and his Son transfer 99% of ther shares to Mrs X i.e. wife of Mr. X, will such transfer be considered as transfer of shares for the purpose of Capital Gains, and if yes then how will the CG be computed.

CS Bijoy

CS Bijoy (Expert)
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12 July 2011 Two condition to be fulfilled that is....

1) Share are to be transfer for consideration.
2) Shares are held by Mr X and his Son for the period which is necessary to consider it as Capital gain.

Capital gain can be calculate by reducing the amount of cost of acquisition from the amount of consideration if any surplus amount remain than it consider capital gain.