Tax on distributed income for buy-back: rules define company's amount received for share issue and valuation methods. Rules prescribe how the amount received by a domestic company for issue of a share is determined for buy-back tax: actual subscription receipts including premium; reductions for prior returns except where taxed; deemed amounts for ESOPs and sweat equity based on fair market value credited to capital accounts; carryover and apportionment rules for amalgamation and demerger; a formula for shares issued as asset consideration with merchant banker valuation; special rules for succession, conversion, nil-consideration issues, dematerialised shares using FIFO, and face value as fallback.