Issuing share capital at excess premium not taxable in hands of eligible start-ups, CBDT notifies
May 30, 2018
As per Section 56(2)(viib), a closely held company is liable to pay tax if it issues shares at a price which exceeds its fair value. The CBDT notifies that the provision is not applicable if issuing co. is a registered start-up in view of Notification No. GSR 364(E), dated April 11, 2018.