https://www.taxtmi.com/caselaws?id=774117 ITAT Mumbai ruled in favor of the assessee on multiple grounds. The court held that reopening assessment under Section 147 was invalid as the AO failed to apply independent mind, merely relying on information from DIT (Inv.) Kolkata without forming personal satisfaction. Regarding bogus LTCG allegations, the tribunal found no specific evidence linking the assessee to price manipulation in JMD Telefilms scrip. SEBI report did not name or implicate the assessee, and her transactions contradicted manipulative trade patterns. The court noted assessee held shares for over three years and sold during price decline, supporting genuine LTCG claim under Section 10(38). Addition based on penny stock transactions was deleted, following precedent that documented transactions cannot be treated as bogus without SEBI/BSE manipulation allegations. en-us Tue, 01 Jul 2025 00:00:00 +0530 Thu, 03 Jul 2025 08:34:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=774117 ITAT Mumbai ruled in favor of the assessee on multiple grounds. The court held that reopening assessment under Section 147 was invalid as the AO failed to apply independent mind, merely relying on information from DIT (Inv.) Kolkata without forming personal satisfaction. Regarding bogus LTCG allegations, the tribunal found no specific evidence linking the assessee to price manipulation in JMD Telefilms scrip. SEBI report did not name or implicate the assessee, and her transactions contradicted manipulative trade patterns. The court noted assessee held shares for over three years and sold during price decline, supporting genuine LTCG claim under Section 10(38). Addition based on penny stock transactions was deleted, following precedent that documented transactions cannot be treated as bogus without SEBI/BSE manipulation allegations. Case-Laws Income Tax Tue, 01 Jul 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=774117