Question ID :
42234
Income Tax on Share Premium in the hands of a company
What will be Tax Rate on Share Premium in the hands of a private limited company taken beyond FMV of shares ?
Posted by
Gaurav Kumar Baranwal
on
Mar 12, 2022
Filed Under
DIRECT TAXES
1) 30% /25% per Finance Bill Part-1, Para E (1) / (ii) OR
2) 25%, 22%,15%/22% per section 115BA, 115BAA, 115BAB depending on date of set up of business/ Nature of business as the case may be.
Posted by
B.CHACKRAPANI WARRIER on
Mar 14, 2022
Answer ID :
81452
It will be treated as other income and taxed at the applicable rate ranging from 30% to the other applicable rates, if tax rate is lower than 30%.
Posted by
CA. JHA SHANKAR KUMAR on
Mar 31, 2022