https://www.taxtmi.com/caselaws?id=257988 Penny stock share transactions were examined on the test of human probability and surrounding circumstances, and the apparent form was rejected where the purchase and sale pattern, quick transfer of physical shares, broker denial, and the assessee's earlier statement indicated a non-genuine arrangement. The sale proceeds claimed as long-term capital gains were therefore treated as unexplained cash credit under section 68. On the same factual basis, the authority inferred that expenditure would have been incurred to procure the artificial capital gain entries, and upheld an estimated addition of 5% of the sale consideration as unexplained expenditure under section 69C. en-us Wed, 30 Jan 2013 00:00:00 +0530 Thu, 04 Feb 2016 15:12:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=257988 Penny stock share transactions were examined on the test of human probability and surrounding circumstances, and the apparent form was rejected where the purchase and sale pattern, quick transfer of physical shares, broker denial, and the assessee's earlier statement indicated a non-genuine arrangement. The sale proceeds claimed as long-term capital gains were therefore treated as unexplained cash credit under section 68. On the same factual basis, the authority inferred that expenditure would have been incurred to procure the artificial capital gain entries, and upheld an estimated addition of 5% of the sale consideration as unexplained expenditure under section 69C. Case-Laws Income Tax Wed, 30 Jan 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=257988