Addition under section 56(2)(viia) - aggregate FMV of the shares ...

Court Rules FMV Amendment Not Retrospective; CIT(A) Overturns Assessing Officer's Decision on Shares' Valuation.

April 7, 2022

Case Laws Income Tax AT

Addition under section 56(2)(viia) - aggregate FMV of the shares of IHPL and VDPL, exceeding the consideration added as Income from Other Sources - - The Rules in this regard contained in section 11UA are already reproduced by us earlier. The same clearly provide for taking the book value of shares as in the balance sheet for the computation. The same was amended by the Income Tax Rules 2017 with effect from 1.4.2018 where instead of book value, fair market value of shares is mentioned. The Act does not provide that this amendment is retrospective. It is clearly mentioned that this amendment is with effect from 1.4.2018. Hence, Assessing Officer’s adoption of fair market value for making the computation which is not in accordance with the extant provisions has rightly been deleted by the learned CIT(A). - AT

View Source

← Previous Next →

Addition under section 56(2)(viia) - aggregate FMV of the shares ...

Court Rules FMV Amendment Not Retrospective; CIT(A) Overturns Assessing Officer's Decision on Shares' Valuation.

April 7, 2022

Case Laws Income Tax AT

You may also like:

Disallowance u/s 14A read with Rule 8D - The assessing officer's reliance on CBDT Circular No. 5 of 2014 to make disallowance u/s 14A is legally untenable and liable to...

The High Court held that for levying penalty u/s 271D for violation of Section 269SS, the Assessing Officer must record satisfaction that the provisions were violated....

Securities Contracts (Regulation) (Procedure for Holding Inquiry and Imposing Penalties by Adjudicating Officer) (Amendment) Rules, 2019

Depositories (Procedure for Holding Inquiry and Imposing Penalties by Adjudicating Officer) (Amendment) Rules, 2019

Amendments to various rules and forms - Central Goods and Services Tax (Amendment) Rules, 2022 - Notification

Income-tax (11th Amendment) Rules, 2019 - Amendments in rule 10CB.

Income-tax (13th amendment), Rules, 2018 - Amendments to Rule 8AA

Income Tax (Fifteenth Amendment) Rules, 2012 - Amendment in Rules 11U and 11UA - Notification

The Income Tax Appellate Tribunal upheld the Assessing Officer's invocation of Section 56(2)(viib) read with Rule 11UA for determining the fair market value of unquoted...

The High Court addressed the issue of exemption u/s 10(25)(iii) of the Income Tax Act. The Assessing Officer denied the exemption to the assessee fund, claiming it lost...

Reopening of assessment u/s 147 - Assessing Officer to usurp the jurisdiction to reopen the assessment - The first Assessing Officer has made the reassessment after...

Validity of order passed u/s 144B - disregarding the stay granted by this court - In the assessment order, the Assessing Officer is referring to a letter stating that...

Addition u/s 56(2)(viib) - difference between the fair market value (FMV) of the shares and the value actually received - the balance sheet drawn up as on 31/03/2013 was...

The High Court quashed the reopening notice issued by the Assessing Officer u/s 148 for reassessment beyond the period of four years. The assessee had filed returns...

The High Court held that the Assessing Officer cannot reopen the assessment u/s 147 merely based on a change of opinion. The assessee had fully and truly disclosed all...

Quick Updates: