Revenue's Appeals Approved in Penny Stock Cases Under Section 260A; Precedent from Swati Bajaj Case Applied.

PRINCIPAL COMMISSIONER OF INCOME TAX 1, 9, 5, 13, KOLKATA Versus M/s. NAROTTAMKA TRADING AND FINVEST PVT. LTD., SMT. SUNITA SANGANERIA, SANJEEV SANGENERIA HUF, SHRI SUMAYSH AGARWAL, DEEPIKA KEDIA, MOOL CHAND JAGWAYAN, SMT. SIKHA BAGARIA, SHYAM SUNDAR DIDWANA, HARI RAM AGARWAL, SURENDRA SHARMA, RAM AWATAR DHOOT, NARENDRA KUMAR GOYAL, DR. DINESH KUMAR HAWELIA, VINOD KUMAR AGARWAL, MRS. PREMLATA TEKRIWAL, MRS. PREMLATA TEKRIWAL, N.P. PATODIA AND SONS HUF

PRINCIPAL COMMISSIONER OF INCOME TAX 1, 9, 5, 13, KOLKATA Versus M/s. NAROTTAMKA TRADING AND FINVEST PVT. LTD., SMT. SUNITA SANGANERIA, SANJEEV SANGENERIA ... **Summary of Judgment: Calcutta High Court**The Calcutta High Court, presided over by Hon'ble Justice T.S. Sivagnanam and Hon'ble Justice Hiranmay Bhattacharyya, delivered a judgment concerning appeals filed by the revenue under Section 260A of the Income Tax Act. These appeals challenged the order passed by the Income Tax Appellate Tribunal at Kolkata, focusing on "Penny Stock Cases."The court referenced a prior decision in the case of *Principal Commissioner of Income Tax Five, Kolkata Versus Swati Bajaj* (ITAT/6/2022, IA No. GA/2/2022), dated 14th June 2022, where similar issues were adjudicated. It was acknowledged by both parties that the precedent set in the Swati Bajaj case was applicable to the current appeals.Consequently, the court allowed the appeal, answering the substantial question of law in favor of the revenue. The appeals and related applications were thereby disposed of, following the established precedent.