https://www.taxtmi.com/caselaws?id=465115 ITAT Kolkata held that additions u/s 68 towards alleged unexplained cash credits from sale of penny stock shares could not be sustained solely on a retracted confessional statement without corroborative evidence, in view of binding CBDT instructions and settled jurisprudence. The Tribunal found the assessee's shareholdings, opening investments, and current year purchases undisputed, and the sale transactions carried out in the ordinary course of business. However, accepting the Revenue's contention that some profit element must exist in such transactions, ITAT applied an estimated net profit rate of 5% on the sale consideration, sustaining Rs. 85,28,000 and deleting the balance addition. en-us Fri, 01 Sep 2023 00:00:00 +0530 Sat, 06 Dec 2025 18:45:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=465115 ITAT Kolkata held that additions u/s 68 towards alleged unexplained cash credits from sale of penny stock shares could not be sustained solely on a retracted confessional statement without corroborative evidence, in view of binding CBDT instructions and settled jurisprudence. The Tribunal found the assessee's shareholdings, opening investments, and current year purchases undisputed, and the sale transactions carried out in the ordinary course of business. However, accepting the Revenue's contention that some profit element must exist in such transactions, ITAT applied an estimated net profit rate of 5% on the sale consideration, sustaining Rs. 85,28,000 and deleting the balance addition. Case-Laws Income Tax Fri, 01 Sep 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=465115