https://www.taxtmi.com/caselaws?id=773655 ITAT Ahmedabad upheld disallowance of bogus long-term capital gains (LTCG) claimed by assessee. AO received information that assessee obtained accommodation entries through share broker for suspicious penny stock transactions. Tribunal found multiple discrepancies: assessee was not regular investor, company had weak financials, shares purchased off-market and dematerialized shortly before sale, astronomical gains in short duration, family members engaged in similar bogus LTCG. Share allotment dates were inconsistent with certificates. Tribunal applied preponderance of probabilities test from Sumati Dayal case, concluding assessee used fictitious transactions to convert unaccounted cash into exempt LTCG. CIT(A) order confirmed. en-us Mon, 23 Jun 2025 00:00:00 +0530 Thu, 26 Jun 2025 08:35:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=773655 ITAT Ahmedabad upheld disallowance of bogus long-term capital gains (LTCG) claimed by assessee. AO received information that assessee obtained accommodation entries through share broker for suspicious penny stock transactions. Tribunal found multiple discrepancies: assessee was not regular investor, company had weak financials, shares purchased off-market and dematerialized shortly before sale, astronomical gains in short duration, family members engaged in similar bogus LTCG. Share allotment dates were inconsistent with certificates. Tribunal applied preponderance of probabilities test from Sumati Dayal case, concluding assessee used fictitious transactions to convert unaccounted cash into exempt LTCG. CIT(A) order confirmed. Case-Laws Income Tax Mon, 23 Jun 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=773655