Issue of shares at premium is at discretion of Issuer Company and applicant- involves capital receipt and is advantageous to company and share holders both.

Issue of shares at premium is at discretion of Issuer Company and applicant- involves capital receipt and is advantageous to company and share holders both. https://www.taxtmi.com/article/detailed?id=5878 Issue of shares may be at face value, premium, or discount; premium is a negotiated, forward looking financing decision that strengthens reserves, preserves lower paid up capital and enhances per share metrics, while securities premium and share capital are shareholders' funds with premium usable for limited purposes such as bonus issues. Securities premium is a capital receipt and, ordinarily, should not be treated as revenue income; statutory provisions treating premium as income in particular cases conflict with this capital character and should be considered with regard to company prospects and commercial context. en-us Tue, 21 Oct 2014 07:49:10 +0530 Wed, 24 Dec 2014 13:17:46 +0530 TaxTMI RSS Generator Issue of shares at premium is at discretion of Issuer Company and applicant- involves capital receipt and is advantageous to company and share holders both. https://www.taxtmi.com/article/detailed?id=5878 Issue of shares may be at face value, premium, or discount; premium is a negotiated, forward looking financing decision that strengthens reserves, preserves lower paid up capital and enhances per share metrics, while securities premium and share capital are shareholders' funds with premium usable for limited purposes such as bonus issues. Securities premium is a capital receipt and, ordinarily, should not be treated as revenue income; statutory provisions treating premium as income in particular cases conflict with this capital character and should be considered with regard to company prospects and commercial context. Articles Income Tax Tue, 21 Oct 2014 07:49:10 +0530 https://www.taxtmi.com/article/detailed?id=5878