Transfer of Unquoted Equity Shares – Stamp Duty Implications When it comes to the transfer of unquoted equity shares, most professionals focus on valuation and tax compliance. However, stamp duty is a critical component that is often overlooked. Inadequate attention to stamp duty can render a transfer invalid, invite penalties,…

Transfer of Unquoted Equity Shares: Companies Act Perspective, Process & Requirements The transfer of unquoted equity shares – those not listed on a recognized stock exchange, is a common occurrence in private companies, whether due to exits, fundraising, or internal restructuring. However, such transfers are governed not just by mutual…

Transfer of Unquoted Equity Shares: FEMA Perspective, Process & Requirements With India becoming a preferred investment destination, startups and private companies frequently deal with the transfer of unquoted equity shares between residents and non-residents. These transactions are not just corporate matters but are governed by the Foreign Exchange Management Act…

Tax on Transfer of Unquoted Equity Shares The transfer of unquoted equity shares – those not listed on any recognized stock exchange – often occurs during internal restructuring, stake sales, succession planning, or startup exits. However, what many overlook is that such transfers have significant income tax implications for both…