amalgamated
company) received such investment in such closely held
companies for inadequate consideration and the same is taxable
under section 56(2)(viia ... being a company in
which public are substantially interested) either for inadequate
consideration or without consideration where the recipient is a
firm or a company
consideration between ECRPL and the assessee company at the
nil/inadequate consideration between the transferor companies of
the group and ECRPL have been made ... substantially interested and the
same are received without consideration or for inadequate
consideration with reference to the fair market value of the shares
under:
"Taxation of certain transactions without consideration or for
inadequate consideration
Under the existing provisions of section 56(2)(vii) , any sum of money ... property in kind which is received without consideration or
for inadequate consideration (in excess of the prescribed limit of Rs.
50,000) by an individual
Section 56(2)(vii) of the Act presupposes the receipt of inadequate consideration on
the transfer of shares, it would, thus, not be applicable ... received the property on allotment of
shares in lieu of inadequate consideration, therefore, the provisions of Section
56(2)(vii) of the Act were validly
entity as the appellant in this case, receives certain stares at
inadequate consideration Whereas clause viib is in respect of receipt of
inadequate consideration ... clearly deals with such scenarios wherein the appellant receives
shares for inadequate consideration by way of purported allotment, thus
implicitly receiving undue benefit in such
certain
cases where the prima facie examination may require a
deeper consideration. The court’s challenge is to find the
right amount ... appears that prima facie
review would be inconclusive, or on consideration
inadequate as it requires detailed examination, the
matter should be left for final determination
certain cases where the prima facie
examination may require a deeper consideration. The court's
challenge is to find the right amount ... appears that prima facie review would
be inconclusive, or on consideration inadequate as it requires
detailed examination, the matter should be left for final
determination
Sanjay Mehra vs Sharad Mehra & Ors. on 10 April, 2023
Author: Jyoti Singh
Bench
context of the issue raised by the Defendants that there was
inadequate consideration under the said MoU for the Plaintiff
acquiring 50% of the development ... Shankar Sonaji Shingne 11 where it
has been held that inadequate consideration is not a ground for
refusing specific performance
certain
cases where the prima facie examination may
require a deeper consideration. The court's
challenge is to find the right amount ... appears that prima
facie review would be inconclusive, or on
consideration inadequate as it requires
detailed examination, the matter should be left
for final determination
