Section 56(2)(viib) of Income Tax Act not Applicable to Share Premium Received from a Non-Resident Person: ITAT

Income Tax Act - Income Tax - Non-Resident Person - Share Premium - Share Premium Received from a Non-Resident Person - ITAT - Taxscan

The Delhi Bench of Income Tax Appellate Tribunal (ITAT) has held that Section 56 (2)(viib) of the Income Tax Act 1961 which are crucial in preventing tax evasion and ensuring fair taxes with regard to the issuance of shares by closely-held companies would not be applicable to share premium received from a non-resident person. In this…

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