https://www.taxtmi.com/highlights?id=105417 Section 56(2)(viib) taxes only share consideration exceeding fair market value, while Rule 11UA allows an issuer of unquoted equity shares to elect a prescribed NAV or DCF method. The election does not make a DCF report conclusive: projections, discount rate, terminal value, data and calculations must be supportable on the valuation date. Assessment scrutiny may identify demonstrably wrong facts, material computational errors or objectively unsupported assumptions, and may require reconsideration or an independent valuation within the selected DCF method. It cannot rest solely on hindsight, unaudited management forecasts or a lower NAV result. The higher-value statutory limb may support asset-based valuation. The provision is stated not to apply on or after 1 April 2025. en-us Sun, 25 Oct 2026 14:05:43 +0530 Sun, 25 Oct 2026 14:05:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=105417 Section 56(2)(viib) taxes only share consideration exceeding fair market value, while Rule 11UA allows an issuer of unquoted equity shares to elect a prescribed NAV or DCF method. The election does not make a DCF report conclusive: projections, discount rate, terminal value, data and calculations must be supportable on the valuation date. Assessment scrutiny may identify demonstrably wrong facts, material computational errors or objectively unsupported assumptions, and may require reconsideration or an independent valuation within the selected DCF method. It cannot rest solely on hindsight, unaudited management forecasts or a lower NAV result. The higher-value statutory limb may support asset-based valuation. The provision is stated not to apply on or after 1 April 2025. Highlights Income Tax Sun, 25 Oct 2026 14:05:43 +0530 https://www.taxtmi.com/highlights?id=105417