https://www.taxtmi.com/caselaws?id=432194 The Tribunal upheld the decision to tax only the excess premium exceeding face value of equity shares under Section 56(2)(viib). The valuation based on discounted cash flow method was rejected due to unreliable future cash flow projections. The discrepancies in projections and actuals led to the dismissal of both appeals, affirming the order of the Ld. CIT(A) that the valuation lacked substantiation. The Tribunal emphasized the importance of reasonable estimations and assumptions in determining the fair market value of shares at a premium. en-us Tue, 06 Dec 2022 00:00:00 +0530 Fri, 30 Dec 2022 09:53:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=432194 The Tribunal upheld the decision to tax only the excess premium exceeding face value of equity shares under Section 56(2)(viib). The valuation based on discounted cash flow method was rejected due to unreliable future cash flow projections. The discrepancies in projections and actuals led to the dismissal of both appeals, affirming the order of the Ld. CIT(A) that the valuation lacked substantiation. The Tribunal emphasized the importance of reasonable estimations and assumptions in determining the fair market value of shares at a premium. Case-Laws Income Tax Tue, 06 Dec 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=432194