viib) of the Income Tax
Act, 19615 read along with Rule 11UA of the Income Tax Rules,
19626. The issue of valuation had arisen ... 2016 wherein you
have submitted certificate of valuation of shares under rule 11UA.
5
Act
6
Rules
7
DCF Method
ITA 1385/2018
Signature
provisions of section
56(2)(viib) of the Act and Rule 11UA(2) of
the Income Tax Rules,1962 to submit that ... rule (2) of Rule 11UA of the
Page 9 of 39
Uploaded by JYOTI V. JANI(HC00213) on Mon Nov 11 2024 Downloaded
Para 62 of the appellate order which reads as
under:
"Section 11UA(2) also envisages that the fair market value of the
unquoted shares ... reduced even those liabilities which are not
permissible under 11UA. Accordingly, we hold that the valuation done by
the Kotak Mahindra Capital and the value
erred in making addition
u/s.56(2)(viib) r.w.r 11UA of Rs.8,16,58,500/- on account of excess premium
charged ... erred in
invoking provision section 56(2)(viib) r.w.r.11UA of the Income Tax Act. The
Invoking provision of section 56(2)(viib
valuation of shares as
determined as per NAV method provided under Rule
11UA(2)(a) of Income Tax Rules, 1962.
3. That ... sale has to be
determined by applying the methodology provided under rule 11UA of the
Rules. As per rule 11UA(2)(b) the fair market
Acton
protective basis and rejecting the valuation report furnished
under Rule 11UA(2)(b) of Income Tax Rules, 1962 i.e.,
Discounted Cash Flow Method ... appellant on protective basis u/s
56(2)(viib) r.w.r 11UA of IT rules without appreciating the
fact that the case was selected
discounted free cash
flow ("DCF") method mentioned under rule 11UA(2)(b) of the
income tax Rules,1962 ("the Rules"). However ... Assets value ("NAV")
method as prescribed under rule 11UA(2)(a) of the Rule and
made an addition
valuation of shares as
determined as per NAV method provided under Rule
11UA(2)(a) of Income Tax Rules, 1962.
3. That ... sale has to be
determined by applying the methodology provided under rule 11UA of the
Rules. As per rule 11UA(2)(b) the fair market
valuation of shares as
determined as per NAV method provided under Rule
11UA(2)(a) of Income Tax Rules, 1962.
3. That ... sale has to be
determined by applying the methodology provided under rule 11UA of the
Rules. As per rule 11UA(2)(b) the fair market
erred in applying the provisions of Rule 11UB/11UC
instead of Rule 11UA of the Income Tax Rules, 1962 ("the Rules ... under section 50CA of the Act, without appreciating the fact
that Rule 11UA has been prescribed in aforesaid section 50CA
