Assessee-company issued certain equity shares to a company at a premium of Rs. 590 per share.  Assessee had opted for valuation as per DCF method.  Assessing Officer held  that assessee had not given any justification for charging such a huge premium.  He further held that assessee was incurring losses during subsequent assessment year 2018-19.  Accordingly, he treated value of premium on shares at Rs. Nil.  He invoked provisions of section 56(2)(viib) and disallowed entire share premium. CIT(A) deleted the addition. On appeal the Tribunal held that  CA had arrived at fair market value (FMV) of shares at premium at Rs. 735 per share.  Share premium charged by assessee was lower than FMV determined by auditor. Further, Assessing Officer treated value of premium on shares at Rs. Nil without following any of methods prescribed under relevant Rules. It was also evident from record that Assessing Officer compared financials of assessee and “projected summarised financials” in valuation report which were not exact and could undergo change so as to held that assessee had in fact incurred loss during assessment year 2018-19. On facts, section 56(2)(viib) is  not applicable to case of assessee and,  addition made under section 56(2)(viib) is  deleted. (AY. 2016-17)