Discuss the circumstances under which evaluation of Goodwill of a Joint Stock Company is necessary.

Evaluation of Goodwill of Joint Stock Company: In the case of a joint stock company, the need for evaluating goodwill may arise in the following cases: When the business or company is to be sold to another company or when the company is to be amalgamated with another company. When, stock exchange quotations not being available, shares have to be valued for taxation purposes - gift tax, etc. When a large block of shares has to be bought or sold so as to enable the holder to exercise control over the company concerned. When the company has previously written off goodwill and wants to write it back. When the company is being taken over by the government.