The founder of Flipkart Mr Sachin Bansal has sold his entire stake in the company after Walmart decided to shell out $16 Billion for the Ecommerce giant. Sachin’s share in the company was 5.2 % when he found out the company with Binny Bansal. He has become a fortune after the stake sale, it is expected to fetch him around $1.2 billion.
Sachin Bansal’s story is one of a kind and hence he will have to shell out a lot of money in order to fulfil his obligations of income tax in India. It has been reported that Sachin will have to pay 20% capital gain tax on the fortune he just created by selling Flipkart. This comes to around a whopping figure of Rs 1600 Crore.
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An expert of the same, Me Nangia said, “Despite the fact that shares of Flipkart Singapore (a company registered outside India) will be transferred to Walmart, gains arising from such transfer could be subject to tax in India Considered that substantial value of such shares is being derived from India.”
Girish Vanvari, that transaction square founder said, “With regard to share purchase agreement entered into with India resident entity Sachin Bansal in this case, capital gain would be charged in their hands and they have to pay 20% income tax.”
While Sachin has decided to leave, Binny decides to continue serving as the CEO of the group and might as well be appointed as the next Executive Chairman.