Hyderabad ITAT upholds applicability of Section 56(2)(viia) on receipt of shares in scheme of amalgamation

In a recent case, the Hyderabad Bench of the Income Tax Appellate Tribunal (ITAT) upheld the applicability of Section 56(2)(viia) of the Income Tax Act (the Act) in the case of receipt of shares by an amalgamated company at less than Fair Market Value (FMV), pursuant to a scheme of amalgamation.