https://www.taxtmi.com/caselaws?id=764692 The ITAT Kolkata quashed reassessment proceedings u/s 147 and additions u/s 68 for unexplained share capital. The AO reopened assessment based on search material suggesting the assessee received bogus share capital from three subscribers. The tribunal held the AO failed to independently verify creditworthiness and genuineness of transactions, instead relying on borrowed satisfaction from search enquiries. Following precedents from Calcutta HC and SC, the tribunal ruled that mere non-production of directors cannot justify additions u/s 68 when PAN and creditor details are provided. The reassessment and assessment orders were quashed, allowing the assessee's appeal. en-us Fri, 20 Dec 2024 00:00:00 +0530 Wed, 15 Jan 2025 10:47:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=764692 The ITAT Kolkata quashed reassessment proceedings u/s 147 and additions u/s 68 for unexplained share capital. The AO reopened assessment based on search material suggesting the assessee received bogus share capital from three subscribers. The tribunal held the AO failed to independently verify creditworthiness and genuineness of transactions, instead relying on borrowed satisfaction from search enquiries. Following precedents from Calcutta HC and SC, the tribunal ruled that mere non-production of directors cannot justify additions u/s 68 when PAN and creditor details are provided. The reassessment and assessment orders were quashed, allowing the assessee's appeal. Case-Laws Income Tax Fri, 20 Dec 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=764692