Orient Paper & Industries Ltd and Orient Electric Demerger

#1

Hello All,

I had purchased 200 shares of Orient Paper & Industries Ltd on 05-Jan-2016 at Rs 40. On 12-Jan-2018, Orient Paper & Industries Ltd was demerged into Orient Paper & Industries Ltd and Orient Electric. Based on demerger notic, I have recevied 200 shares of Orient Electric. I have following queries in this regard

  1. I have create a personl portfolio to monitor stock. After the demeger, how to handle the stock prices of Orient Paper & Industries Ltd and Orient Electric in my portfolio? Currently in my portfolio, Orient Paper & Industries Ltd is shown as LOSS and Orient Electric’s Profit/Loss can not be calculated since I dont have purchase price

  2. If I sell Orient Electric, what shall be Income Tax implication on this?

  3. If I sell Orient Paper & Industries Ltd, what shall be Income Tax implication on this?

#2

@sabkaview what should I consider as the buying price of Orient Electric in this case (after demerger)?

#3


@Jay_Thakkar @manojlp04

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