https://www.taxtmi.com/caselaws?id=755772 The ITAT Nagpur allowed the assessee's appeal regarding short term capital loss disallowance for AY 2010-11. The AO disallowed the loss claiming the share sale transaction was bogus, noting shares worth Rs. 4.10 crores were sold for only Rs. 42 lakhs. The ITAT held that without evidence proving the transaction was not genuine, the AO's action was unjustified. The tribunal noted that purchasing shares of a loss-making company to improve performance cannot be deemed as merely purchasing losses. Additionally, Section 50CA provisions for fair market value determination were only applicable from AY 2018-19 onwards, making the disallowance legally unsustainable for AY 2010-11. en-us Tue, 16 Jul 2024 00:00:00 +0530 Thu, 18 Jul 2024 20:49:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=755772 The ITAT Nagpur allowed the assessee's appeal regarding short term capital loss disallowance for AY 2010-11. The AO disallowed the loss claiming the share sale transaction was bogus, noting shares worth Rs. 4.10 crores were sold for only Rs. 42 lakhs. The ITAT held that without evidence proving the transaction was not genuine, the AO's action was unjustified. The tribunal noted that purchasing shares of a loss-making company to improve performance cannot be deemed as merely purchasing losses. Additionally, Section 50CA provisions for fair market value determination were only applicable from AY 2018-19 onwards, making the disallowance legally unsustainable for AY 2010-11. Case-Laws Income Tax Tue, 16 Jul 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=755772