Transfer u/s 47

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**KK**

**KK** (Querist)
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30 December 2009 whether conversion of Sole proprietor to firm is considered as Transfer for computing Capital Gain?...

CA.SHAHZAD SAYYED

CA.SHAHZAD SAYYED (Expert)
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30 December 2009 Dear
There is only change of constitution, the ownership remains the same so it is not a transfer

Heera Nahariya

Heera Nahariya (Expert)
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30 December 2009 Agree with the expert.

But certain conditions are to be fulfilled viz. holding not less than 50% of share capital for a period of five years.

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Heera Nahariya

Heera Nahariya (Expert)
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30 December 2009 Agree with the expert.

But certain conditions are to be fulfilled viz. holding not less than 50% of share capital for a period of five years.

Murtaza I Bhagat

Murtaza I Bhagat (Expert)
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30 December 2009 agree with both experts

CA.ViVeK M ACA

CA.ViVeK M ACA (Expert)
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30 December 2009 It will not be regarded as transfer and conversion of sole propritory concern to in to firm and Firm by the company etc dealt with specifically in capital gain chapter.Refer sec 47 for more details