Help Needed Regarding "There May Be a Discrepancy with This Stock" After Dematerialized Stock Added

Stocks
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Hi everyone,

I’m relatively new to the stock market and could use some guidance on a discrepancy issue I’ve encountered with my dematerialized share of Saurashtra Cement Limited holdings.

Here’s the situation:

  • I have holdings in Saurashtra Cement Limited, with the allotment date being 11th November 1993.
  • My physical certificate was successfully dematerialized and added to my portfolio in the first week of July.
  • I’ve noticed a red exclamation mark next to this stock in my holdings, indicating that “There may be a discrepancy with this stock.”

After contacting Zerodha support, they mentioned that in this case, I will need to manually add the price at which I acquired the shares. They also said that if I don’t have the details and purchased the stocks before 31-01-2018, I need to enter the high/closing price as of 31-01-2018, as the grandfather clause will be applicable.

I did purchase the stock before 31-01-2018. Based on the information from tijorifinance.com (screenshot of the webpage attached), the high/closing price as of 31-01-2018 is 91.50. I understand that I need to enter this price.

Could anyone please confirm if my understanding is correct? Any additional advice or steps I should take would be greatly appreciated.

Thanks in advance for your help!

Screenshot
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2

Yes. It’ll be that price or your actual purchase price per share from 1993, whichever is higher. It’s called grandfathering clause, since government introduced tax on long term capital gains.

That will be your buy price (“cost of acquisition”) for that stock. It will be used for calculating profits on which you’ll pay tax once you sell the stock

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Thank you so much for your clarification; it has resolved my doubts. I appreciate your help.

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