Everything You Need to Know About the Escorts Limited Open Offer

[yashrs]

@ShubhS9

You will receive DIS acknowledgment copy via email. After this you can courier this along with Form of Acceptance-cum-Acknowledgment (Page no. 72 from the Letter of offer) to the RTA.

Just to re-iterate @ShubhS9 - It is optional to send the acceptance-cum-acknowledgement form for stocks helf in Demat form. This has been confirmed by the KFinTech team as well:

So no need to panic regarding that

[Vikas_Karandikar]

i have submitted DIS and it is received by zerodha as per delivery confirmation. can you please execute immediately. 20220326806054 raised for this

thanks
Vikas

[Ashwin_DSouza]

@Quicko Can the Team help what will be taxation for the Escort Open Offer? And if the 1Lakh CG exemption is still applicable?

Also since open offer closes on March 28th, when is the CG applicable is FY 2021-22 or in FY2022-23, when payment might happen?

[Devavrat_Harshe]

I have already sent a DIS to zerodha. Do i need to send the offer form to KFintech? Page 72 of the form says, shareholders who have Demat shares, dont need to send the form unless the broker asks them to.

Zerodha bulletin says to do so. What is the official position?

If my DIS reaches Zerodha today (March 28), will I be eligible for the Open offer/

[anp]

Since all retail and most others will try to apply maximum available quantity for the open offer, how will the price discovery happen in the cash market from 29th March onwards?

What type of market participants will have shares (that have not gone to the escrow account already) that they can trade in the cash market tomorrow onwards?

Thanks!

[paras132]

Hi Team,

I have sent across filled DIS to Zerodha and as per courier tracking, Zerodha has received it on 25th March, 2022 17:09 but I haven’t received any confirmation yet from Zerodha about the same.

Please check and update as it is time sensitive issue, 28th March (today) being last day of open offer of Escorts.

Ticket already raised and spoke to Zerodha customer care twice from morning - 20220317978544

Thanks, Paras

[Quicko]

Hi @Ashwin_DSouza, taxation for Escorts Limited Open Offer shall be on par with normal capital gain taxation as per 111A and 112A.
Yes, 1 Lakh CG exemption will be applicable if the holding period in more than 1 year.
The CG will be applicable from FY 21-22.

[sahil_Jain1]

When will i receive my payment for accepted shares of escorts ltd

[yashrs]

@sahil_Jain1 I received the payment today

[sahil_Jain1]

I have also received thanks

[ek_chom]

Any idea on taxation part?
I am not able to find any contract note, so I assume Off-market transaction was done for open offer. Hence for short-term capital again, it should be as per individual slab ?

[ShubhS9]

@ek_chom

Any idea on taxation part?
I am not able to find any contract note, so I assume Off-market transaction was done for open offer. Hence for short-term capital again, it should be as per individual slab ?

@Quicko, can you assist, please.

[Quicko]

Hi @ek_chom

According to this article Escorts Limited open offer, yes, it was an off-market transaction.

The taxation for Escorts Limited Open Offer shall be on par with normal capital gain taxation, ie, LTCG or STCG depending upon the holding period and type of security as shown in the screenshot below.

Read more about Income Tax on Equity Share Trading - Learn by Quicko

Hope this helps.