value became negative and as such value of the shares was nil.
That is why shares were sold to the HUF @ Re.1/- per share ... come forward to
purchase these shares which have a zero value. Naturally shares have
been transferred within the family just to create a loss
said loan zero coupon was
optionally convertible into share capital at any time not later than
31.03.2011 at a fair value to be determined ... loan was zero coupon and was optionally convertible
into share capital at the option of the lender at a fair value to be determined
issued share capital of ₹ 5 lakhs and no share
premium was charged on the shares. The assessee company issued
and allotted zero percent compulsory convertible ... value of the
shares, which include both equity and preference shares. According to
the Ld. Pr. CIT, the assessee has failed to justify the share
Chintalapati Holdings P.
Ltd., transferred their shares to the assessee on 04.03.2011 at Rs.75.49 per
share whereas, on the same day and also ... fair market value as per the prescribed rule according to
which, the fair market value of the share is less than Re. zero and hence
zero balance company asking
for premium of Rs 490/- per share with a face value of Rs 10/- defies
commercial prudence. Nevertheless it had concluded ... zero balance one. In
these circumstances, there would be all the more reason for not charging
to tax the share premium collected by the appellant
Chintalapati Holdings P. Ltd.,
transferred their shares to the assessee on 04.03.2011 at Rs.75.49 per share whereas, on the same
day and also ... fair market value as per the prescribed rule according to which, the fair market
value of the share is less than Re. zero and hence
shell, the value of shares of S H Kelkar & Co held by
KNP Industries Pte Ltd was virtually zero. Hence it was pleaded that ... nutshell, the value of shares of S H
Kelkar & Co. held by KNP Industries Pte Ltd was virtually zero.
8.1. We find that
that a non est and zero balance company asking for
premium of Rs. 490/- per share with a face value of Rs.
10/- defies commercial ... that a non est and zero
balance company asking for premium of Rs. 490/- per share with
a face value of Rs. 10/- defies commercial
that, the assessee had reduced the value of 671 shares of Reliance Industries
Ltd to zero as the shares were physically lost. However
shares entered into by the company. After considering
the submissions of the assessee, the AO observed that loss is due to
valuation of shares ... certain cases value is taken as Zero, and the zero
valuation is taken due to non-marketability of the shares and also unlisting
them from
