Checklist Definition Under The Indian Law

Please Select The Activity

Whether both the transferor and the transferee entities are companies under the Income tax act

Whether both the transferor and the transferee entities are companies under the Income tax act? 3

Whether an undertaking or a part of the undertaking is transferred?

Whether the transferor company ceases to exist after the merger?

Whether the business transferred continues to exist after the transfer takes place?

Demerge?

Whether a company as a whole is transferred?

In case of slump sale, either transferor or transferee or both can be other than companies mentioned under the income tax act.

Whether an undertaking is transferred?

Whether the sale is for a lump sum consideration without values being assigned to the individual assets and liabilities in such sale. or Whether the determination of the value of the asset or liability is for the sole purpose of payment of stamp duty, registration fees or other similar taxes or fees?

Whether all the property and liabilities of the company are transferred to the transferee company?

Whether Shareholders holding more than 75% in value of the shares in the transferor Company (other than shares already held therein immediately before the transfer by the transferee or its subsidiary) become shareholders of the transferee Company?

It is Slumpsale

Whether Shareholders holding more than 75% in value of the shares in the transferor Company (other than shares already held therein immediately before the transfer by the transferee or its subsidiary) become shareholders of the transferee Company?

It is not Merger or Demerger do you wish to continue to check for Slump sale?

Demerge?

It is not slump sale. It can be considered as itemised sale where value can be assigned to individual assets and liabilities

It is not Merger. Do you wish to continue to check for Demerger?

Whether the transfer is a result of the acquisition or purchase of the property of one company by another company pursuant to the purchase of such property by the other company?

Where all the property and liabilities of the undertaking has to be transferred to the transferee company?

Whether the transfer is pursuant to a scheme of arrangement under sections 391 to 394 of the Companies Act?

Whether the transfer is by way of distribution of property to other company after winding up of the first company?

Should the transferee company issue shares to the shareholders of transferor company on a proportionate basis?

It is Merger

Demerge?

Whether the transfer of the undertaking be on a going concern basis?

Thank you for using check list. Click on restart button if you wish to restart checklist again OR Click on close the window button if you wish to discontinue Checklist

Whether the transfer be in accordance with the conditions, if any, notified under section 72A(5) by the Central Government in this behalf?

It is De-Merger