AO cannot assess share premium as income on the ground that it is excessive

M/s. Varsity Education Management Pvt. Ltd. Vs DCIT (ITAT Mumbai)

In the instant case, there is no dispute to the fact that the assessee has received the sum of Rs. 1030/- per share as Share Premium. It is the case of the assessing officer is that he will accept the share premium only to the extent of Rs.672/- per share worked out as per Valuation certificate. Accordingly the AO has considered the amount of Rs.358/- per share as unjustified premium and assessed the same as income of the assessee u/s 68 of the Act. The question that requires to be consi

Please become a Premium member. If you are already a Premium member, login here to access the full content.