Process of Registration by Taxhub
Upload the basic Documents
Choose your requisite plan and pay the fees
Taxhub will Prepare Share Transfer Deed
Taxhub will do Stamping on Share Transfer Form
Get your Share Certificates
Overview of Share Transfer?
Shares of a company are movable property and thus can be transferred like any other property. A public company can freely transfer its shares, but there are some restrictions on the transfer of shares by a private company. The limits are imposed to protect the rights of investors and shareholders.
One have to check the following things before transferring shares of a private limited company.
• Check for restrictions in the AOA.
• First, offer shares to existing members
• Enter into a Share Transfer Agreement
• If they The transfer of Shares are restrict
• The share transfer form is SH-4 (Sec 56)
Process for Transfer of Share
Following are the steps which need to be followed for transfer of shares.
• Notice of Intention for Transfer of Share
The person who wants to sell his share shall give a notice to the company in writing that he wants to sell his share.
• Documentation for Transfer of Share
After giving consent in writing and after finalization of deal, the form no Sh-4 is fixed by the prospective buyer and the same is signed by both the transferee and transferor in presence of a witness. The Transferor then hands over the Share Certificate to the byer and appropriate stamp duty should be affixed on it.
• Transferor send Sh-4 and Certificate
After the transfer is done, and adequately stamped, the transferee send a request to the company for replacing the name in the register of members and company records such transfers.
• Issue of Fresh Share Certificate
After the approval of the Board of Directors of the company , the share transfer is recorded in the register of member and new share certificate is issued.
Documents Required for Transfer of Shares
• Original Share Certificate of Shares to be transferred.
• Certificate of Stamp Duty Payment on issue of fresh share certificate.
• Valuation and the share transfer Agreement.
• Share Transfer Form duly signed by both the Parties.
• ID and Address Proof of the transferor and transferee.
• Proof of Payment of consideration of Transfer if any.
9,999/-
All Inclusive Fees
| Individual Transfers |
| Share Transfer Form SH-4 |
| Share Transfer Agreement |
| Drafting of Consideration Receipts |
14,999/-
All Inclusive Fees
| Individual Transfers |
| Share Transfer Form SH-4 |
| Share Transfer Agreement |
| Drafting of Consideration Receipts |
24,999/-
All Inclusive Fees
| Individual Transfers |
| Share Transfer Form SH-4 |
| Share Transfer Agreement |
| Drafting of Consideration Receipts |
| Including attending meeting of Share Transfer |
Benefits of Share Transfer
By having a share transfer agreement, the parties would know their respective rights and liabilities related to the transfer of shares
Shares would be registered under the Company Share Transfer provisions
The regulatory body/authority for transfer of shares is the Companies Registry and the Ministry of Corporate Affairs. (MCA)
The Transfer of Shares of a company is very easy and simple as compare to the transfer of shares of a partnership Firm
In Private Limited Company, 100% Foreign Direct Investment is allowed that means any foreign entity or foreign person can directly invest in a Private Limited Company
The particulars of the company are available on a public database. Which improves the credibility of the company as it makes it easy to authenticate the details
Shares of a company are movable property and thus can be transferred like any other property. A public company can freely transfer its shares, but there are some restrictions.
The goods and services tax (GST) is a value-added tax levied on most goods and services sold for domestic consumption. The GST is paid by consumers, but it is remitted.
