Angel Tax Case: ITAT Mumbai Validates Valuation Report by Certified Valuers

PNP Maritime Services Pvt. Ltd. Vs DCIT (ITAT Mumbai) Recent Mumbai Tribunal Ruling Affirms Validity of Valuation Report by Certified Valuers in Angel Tax Cases In a significant update on the Angel Tax front, the Mumbai Tribunal has pronounced a ruling emphasizing the legitimacy of fair market valuation conducted under Section 56(2)(viib) of the Income-tax Act, 1961 (Angel-tax Provisions). The judgment establishes that shares issued at a premium based on a valuation using the Discounted Cash Flow (DCF) Method by a certified valuer cannot be rejected by tax officers unless valid grounds are pre...