https://www.taxtmi.com/caselaws?id=766272 The ITAT Ahmedabad ruled in favor of the assessee regarding addition under Section 68 for alleged bogus long-term capital gains from penny stock transactions. The assessee provided comprehensive documentary evidence including purchase agreements, Demat statements, broker confirmations, bank records, and STT payment proof. The AO's addition was based solely on general observations about penny stock manipulation without establishing any direct link to the assessee's activities. The tribunal held that mere stock price fluctuations, without specific evidence of price rigging or collusion, cannot justify Section 68 additions, following Gujarat HC precedents. en-us Tue, 18 Feb 2025 00:00:00 +0530 Fri, 21 Feb 2025 08:23:27 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=766272 The ITAT Ahmedabad ruled in favor of the assessee regarding addition under Section 68 for alleged bogus long-term capital gains from penny stock transactions. The assessee provided comprehensive documentary evidence including purchase agreements, Demat statements, broker confirmations, bank records, and STT payment proof. The AO's addition was based solely on general observations about penny stock manipulation without establishing any direct link to the assessee's activities. The tribunal held that mere stock price fluctuations, without specific evidence of price rigging or collusion, cannot justify Section 68 additions, following Gujarat HC precedents. Case-Laws Income Tax Tue, 18 Feb 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=766272