https://www.taxtmi.com/caselaws?id=755736 The ITAT Mumbai dismissed the assessee's appeal regarding additions under section 68 for accommodation entries through penny stock transactions. The tribunal upheld the CIT(A)'s decision, finding that claimed long-term capital gains (LTCG) exemption under section 10(38) was a colourable device to convert unaccounted income into fictitious gains. Key evidence included admission by exit provider that his account was operated by another person, and artificial price manipulation of shares from Rs. 1.82 to Rs. 1,425 before dropping to Rs. 0.88. The AO was justified in treating bogus LTCG as unexplained cash under section 68. en-us Wed, 10 Jul 2024 00:00:00 +0530 Wed, 17 Jul 2024 11:51:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=755736 The ITAT Mumbai dismissed the assessee's appeal regarding additions under section 68 for accommodation entries through penny stock transactions. The tribunal upheld the CIT(A)'s decision, finding that claimed long-term capital gains (LTCG) exemption under section 10(38) was a colourable device to convert unaccounted income into fictitious gains. Key evidence included admission by exit provider that his account was operated by another person, and artificial price manipulation of shares from Rs. 1.82 to Rs. 1,425 before dropping to Rs. 0.88. The AO was justified in treating bogus LTCG as unexplained cash under section 68. Case-Laws Income Tax Wed, 10 Jul 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=755736