16 October 2013
The FMV of shares for the purpose of section 56 (2) (viib) . Suppose a company makes an agreement to issue shares to a person in 4 installments, what should be the fmv that should be considered? FMV as on the date of agreement or fmv as on the date of issue of each of such shares? The shares will be kept in an escrow account by the company until the date of issue, and if the subscriber fulfills the conditions, shares will have to be allotted to him.
18 October 2013
Well I just prefer to give reference to specific rule. In this case, the question was when the valuation shall be done, which is prescribed under sub rule "j"
"(j) "valuation date" means the date on which the property or consideration, as the case may be, is received by the assessee."
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