https://www.taxtmi.com/caselaws?id=471190 Long-term capital gains from shares acquired through an IPO, held in demat form and sold through a recognised stock exchange cannot be treated as unexplained cash credit merely on a general penny-stock investigation report. Documentary proof of subscription by account-payee cheque, demat holding, banking trail, exchange-based sale and securities transaction tax supports genuineness unless rebutted by assessee-specific evidence. The gain remained eligible for exemption and the related addition was deleted. Once the share transactions were accepted as genuine, no basis remained to infer commission paid for arranging a bogus entry; the estimated unexplained expenditure addition was also deleted. en-us Thu, 09 Oct 2025 00:00:00 +0530 Mon, 24 Aug 2026 18:59:19 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=471190 Long-term capital gains from shares acquired through an IPO, held in demat form and sold through a recognised stock exchange cannot be treated as unexplained cash credit merely on a general penny-stock investigation report. Documentary proof of subscription by account-payee cheque, demat holding, banking trail, exchange-based sale and securities transaction tax supports genuineness unless rebutted by assessee-specific evidence. The gain remained eligible for exemption and the related addition was deleted. Once the share transactions were accepted as genuine, no basis remained to infer commission paid for arranging a bogus entry; the estimated unexplained expenditure addition was also deleted. Case-Laws Income Tax Thu, 09 Oct 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=471190