https://www.taxtmi.com/caselaws?id=441042 A sanctioned amalgamation approved by the jurisdictional High Court could not be disregarded as a colourable device in the absence of contemporaneous objection or tangible material showing sham arrangement, so the receipt of shares under the scheme was not taxable as income from other sources. Share capital and premium from a Mauritius investor were not assessable as unexplained cash credit where incorporation details, remittance evidence, bank statements and source certification established identity, genuineness and creditworthiness, and the source-of-source proviso did not apply for the year in question. No disallowance under section 14A read with Rule 8D was permissible where no exempt income was earned, and the same adjustment could not be carried into MAT computation under section 115JB. Section 79 barred carry forward and set-off of losses due to the change in shareholding pattern. en-us Mon, 06 Mar 2023 00:00:00 +0530 Mon, 31 Jul 2023 12:44:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=441042 A sanctioned amalgamation approved by the jurisdictional High Court could not be disregarded as a colourable device in the absence of contemporaneous objection or tangible material showing sham arrangement, so the receipt of shares under the scheme was not taxable as income from other sources. Share capital and premium from a Mauritius investor were not assessable as unexplained cash credit where incorporation details, remittance evidence, bank statements and source certification established identity, genuineness and creditworthiness, and the source-of-source proviso did not apply for the year in question. No disallowance under section 14A read with Rule 8D was permissible where no exempt income was earned, and the same adjustment could not be carried into MAT computation under section 115JB. Section 79 barred carry forward and set-off of losses due to the change in shareholding pattern. Case-Laws Income Tax Mon, 06 Mar 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=441042