Valuation under Income Tax
We, at Valuation India, are the best values for income tax, capital gains tax, etc.
Let us quickly take you through these three tax types.
- Income Tax:In case of Shares, as per rules, minimum consideration for sale or buy transaction shall be higher of actual transaction value or Fair Market Value as per rule 11UA. As per rule 11UA, Fair Market Value shall be calculated either by Adjusted Net Asset Value or Based upon Discounted Cash Flow method to be certified by a SEBI Registered Category I Merchant Banker.
Similarly, for other assets such as house, valuation shall be higher of that of actual transaction price or stamp duty valuation.
- Wealth Tax and Gift Tax:Following the Direct Tax Laws (amendments) Act 1989, there has been a change in the valuation rules for wealth tax and gift tax since April 01, 1989. It requires adherence to the guidelines given under Schedule III of the Act. At Valuation India, we offer these services to a wide range of businesses.
- Capital Gains Tax:Any kind of profits gained from the transfer of a capital asset will be chargeable to tax under ‘capital gains.’ It is necessary to determine the indexed cost of the acquisition of the property and the property value, as on April 1, 1981, for the assessment of capital gains. We provide these services to help business owners stay compliant with the laws.