Assessee, engaged in energy and infrastructure development, issued 1,00,000 OCPS to its holding company. Assessing Officer recalculated Fair Market Value (FMV) of OCPS and deemed excess premium taxable under Section 56(2)(viib).On appeal, Commissioner (Appeals) accepted assessee’s valuation and deleted addition. On appeal the Tribunal held that section 56(2)(viib) does not apply to subscriptions by holding companies.  Convertible shares had been allotted to wholly owned 100% holding company, benefit if any arising to assessee-company on account of alleged excess premium, in turn, effectively benefits subscribers themselves having pre-existing rights in company.On a common sense approach, no purpose would be achieved by obtaining benefit by way of excess premium by assessee from its own shareholder. Therefore, addition on account of premium amount in excess of FMV made by Assessing Officer under section 56(2)(viib) could not be sustained. Order of CIT(A) is affirmed.  (AY. 2016-17)