https://www.taxtmi.com/caselaws?id=773724 Gujarat HC upheld PCIT's revision u/s 263 regarding LTCG exemption u/s 10(38) on penny stock transactions. The assessee claimed exemption on sale of shares of a penny stock company. AO failed to conduct adequate inquiry despite receiving investigation report from Directorate of Investigation, Kolkata identifying the company as penny stock. PCIT correctly invoked Explanation 2(a) to section 263, finding assessment order erroneous and prejudicial to revenue due to lack of proper inquiry. Tribunal's concurrent findings were upheld, rejecting assessee's contentions regarding natural justice breach and availability of two views. en-us Tue, 25 Feb 2025 00:00:00 +0530 Fri, 27 Jun 2025 08:36:21 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=773724 Gujarat HC upheld PCIT's revision u/s 263 regarding LTCG exemption u/s 10(38) on penny stock transactions. The assessee claimed exemption on sale of shares of a penny stock company. AO failed to conduct adequate inquiry despite receiving investigation report from Directorate of Investigation, Kolkata identifying the company as penny stock. PCIT correctly invoked Explanation 2(a) to section 263, finding assessment order erroneous and prejudicial to revenue due to lack of proper inquiry. Tribunal's concurrent findings were upheld, rejecting assessee's contentions regarding natural justice breach and availability of two views. Case-Laws Income Tax Tue, 25 Feb 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=773724