The Assessee was a director and had given his personal guarantee to the SBI in respect of his company’s commercial borrowings. Later, SBI invoked the personal guarantee given by the assessee. SBI entered into an assignment agreement with Asset Reconstruction Co India Ltd (ARCIL). The land, which was offered as collateral security, was assigned to […]
CIT V ENAM SECURITIES (P.) LTD. [2012] 21 TAXMANN.COM 267 (BOM.)
The Assessee would be entitled to benefit of indexation under section 48 at the time of redemption of redeemable preference shares. Facts The assessee had subscribed to the purchase of 4 lakh preference shares each of Rs. 100/- of Enam Finance Consultants Pvt. Ltd. in 1992. The preference shares were to carry a dividend of […]
ANARKALI SARABHAI V. CIT 224 ITR 422 (SC), [1997] 90 TAXMAN 509 (SC)
The Supreme Court held that redemption of preference shares amounted to ‘sale, exchange or relinquishment of asset’ within meaning of section 2(47)(i) Facts of the Case The assessee is an individual and the assessment year under reference is AY 1969-70. The assessee held 297 redeemable preference shares of Universal Corporation Private Limited a company incorporated […]
CIT v GRACE COLLIS [2001] 115 TAXMAN 326 (SC)
The assessees were shareholders of Ambassador Steamship (P.) Ltd. Ambassador Steamship Pvt. Ltd. (‘the amalgamating company’) was amalgamated with Collis Line Pvt. Ltd. (‘the amalgamated company’). As per the scheme, the members of the amalgamating company, were issued 14 equity shares of Rs. 100 each, credited as fully paid-up, in the amalgamated company for each […]