https://www.taxtmi.com/caselaws?id=468222 Addition for alleged penny stock share dealings could not be sustained where the Assessing Officer relied mainly on weak financials and an inference of price manipulation without independent, cogent evidence of the assessee's involvement in rigging or any sham transaction. Banking-channel payments, demat entries and supporting documents substantiated the purchase and sale of shares, and the mere label of a scrip as a penny stock, without further enquiry, was insufficient to deny long-term capital gains treatment or invoke the unexplained cash credit framework. The assessee was therefore entitled to relief. en-us Mon, 27 Oct 2025 00:00:00 +0530 Thu, 23 Apr 2026 08:54:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=468222 Addition for alleged penny stock share dealings could not be sustained where the Assessing Officer relied mainly on weak financials and an inference of price manipulation without independent, cogent evidence of the assessee's involvement in rigging or any sham transaction. Banking-channel payments, demat entries and supporting documents substantiated the purchase and sale of shares, and the mere label of a scrip as a penny stock, without further enquiry, was insufficient to deny long-term capital gains treatment or invoke the unexplained cash credit framework. The assessee was therefore entitled to relief. Case-Laws Income Tax Mon, 27 Oct 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=468222