9911796707
TMI Blog2021 (9) TMI 735X X X X Extracts X X X X X X X X Extracts X X X X ..... e of computation of capital gain on transfer of the shares is not found involved in the questions raised by the applicant. The exercise of valuation of shares (if at all necessary) and the computation of capital gains has to be undertaken by the Assessing Officer only when the issue of taxability of capital gain on transfer of shares is decided in favour of the Revenue. We do not find any involvement of determination of fair market value of any property (shares) in the questions raised in the application. In the case of Worldwide Wickets, In re.[ 2018 (2) TMI 1428 - AUTHORITY FOR ADVANCE RULINGS, MUMBAI ] as held that the computation of capital gains is embedded in the concept of valuation of shares and merely for this reason the quest ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... witzerland and is a tax resident of Switzerland. The present application was filed on January 16, 2020 wherein the following questions have been raised : Question No. 1. On the facts and circumstances of the case and in law, whether the applicant is justified in its belief that it is not required to deduct tax under section 195 of the Act on payment made by it to 'Sac Oerlikon' for acquisition of shares of 'Graziano Italy', considering the provisions of India-Netherlands tax treaty ? Question No. 2. On the facts and circumstances of the case and in law, whether the applicant is justified in its belief that the gain arising to it on transfer of shares of 'Fairfield USA' and 'Graziano Italy' to ' ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... raziano Italy (holding 100 per cent. shares of Graziano India) from SAC Oerlikon to the applicant. (c) Allotment of shares of Graziano Swiss to the applicant in lieu of value of shares of Fairfield Manufacturing Co. USA and Graziano Italy. (d) Transfer of shares of Graziano Swiss from applicant to DANA International. In view of the above, the application was inadmissible as per proviso (ii) to section 245R(2) of the Income-tax Act. Apart from the objection that the issue involved determination of fair market value of the above property, the Revenue has also submitted that the details submitted by the applicant were incomplete and, therefore, it was not in a position to comment at this stage whether the transaction was designe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 195 on payment made by the applicant to Sac Oerlikon for acquisition of shares of Graziano Italy under the pro visions of India-Netherland tax treaty. (2) Gains arising on transfer of shares of Fairfield USA and Gra ziano Italy to Graziano Swiss under India-Swiss tax treaty. (3) Gains arising on transfer of shares of Graziano Swiss to a nonresident buyer under India-Swiss tax treaty. The issue of valuation of any share or the issue of computation of capital gain on transfer of the shares is not found involved in the questions raised by the applicant. The exercise of valuation of shares (if at all necessary) and the computation of capital gains has to be undertaken by the Assessing Officer only when the issue of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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