Limitation for final assessment under sections 144C and 153 treated jointly, resulting in quashing of timebarred assessment order and liberty to reviv...
Deductibility of settlement payments for securities law penalties and treatment of unexplained cash credits in share trading -- Tribunal upholds posit...
Threshold for allottee-initiated insolvency petitions in leasehold real estate upheld; petition admitted after possession letters deemed legally ineff...
Contravention of foreign exchange rules in crossborder diamond payments; appellate tribunal reduces one appellant's penalty for delay and proportional...
Bogus long-term capital gains from penny stock transactions were rejected where contract notes, demat entries, bank records and sale documents did not establish genuineness. The Tribunal found that the scrip showed abnormal price movement unrelated to the company's financial position and business activity, the original purchase was through an off-market route in an unlisted company, and the assessee was not shown to be a regular or informed investor. Applying the human probabilities test, it treated the transaction as a pre-arranged accommodation entry mechanism to convert unaccounted income into exempt capital gains. The burden under section 68 was not discharged, the addition was upheld, and exemption under section 10(38) was denied.
Bogus long-term capital gains from penny stock transactions were rejected where contract notes, demat entries, bank records and sale documents did not establish genuineness. The Tribunal found that the scrip showed abnormal price movement unrelated to the company's financial position and business activity, the original purchase was through an off-market route in an unlisted company, and the assessee was not shown to be a regular or informed investor. Applying the human probabilities test, it treated the transaction as a pre-arranged accommodation entry mechanism to convert unaccounted income into exempt capital gains. The burden under section 68 was not discharged, the addition was upheld, and exemption under section 10(38) was denied.
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