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TMI Blog2021 (7) TMI 1464X X X X Extracts X X X X X X X X Extracts X X X X ..... of shares - consideration received by such issuing Company in excess of the FMV, to the extent it exceeds the face value of such shall be liable to tax - HELD THAT:- We notice that the additional evidence furnished by the assessee before the AO is in the nature of Corrigendum issued by the Valuer, who was constrained to issue the same as there was an error in the original valuation report. The co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... R. Baskaran, Accountant Member And Smt. Beena Pillai, Judicial Member For the Appellant : Shri Suresh Muthu Krishnan, A.R. For the Respondent : Shri Pradeep Kumar, D.R. ORDER PER B.R. BASKARAN, ACCOUNTANT MEMBER: The appeal filed by the assessee is directed against the order dated 21.03.2019 passed by Ld CIT(A)-3, Bengaluru and it relates to the assessment year 2015-16. All the grounds urged by t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... substantially interested, is required to issue shares at Fair Market Value (FMV). Accordingly, any consideration received by such issuing Company in excess of the FMV, to the extent it exceeds the face value of such shall be liable to tax. 3. The assessee furnished a valuation report dated 22.01.2015 issued by a Chartered Accountant. The AO noticed that the valuation has been done under Discounted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at Rs. 374.95. 5. The Ld CIT (A) called for a remand report from the AO on the additional evidence filed by the assessee. The AO expressed the view that the corrigendum issued by the valuer is an afterthought of the assessee. He also expressed the view that the valuation report cannot be changed as per whims and fancies of the assessee. The Ld CIT (A) confronted the remand report of the AO with th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (A). Hence, in our view, there is no reason to reject the corrigendum. Accordingly, we admit the corrigendum furnished by the assessee before the Ld CIT(A), since the same has been issued to correct the error in arriving at the fair market value of shares issued by the assessee. Accordingly, the original report and corrigendum shall constitute full report and the same has to be examined by the AO. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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