TaxTMI 
TaxTMI 
2006 (8) TMI 266
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....dition on the basis of information/evidence available with him." 3. Briefly stated, the facts of the case are that the assessee filed her return declaring income of Rs. 1,07,358 on 29th Oct., 1997, showing profit on sale of shares and LIC commission. The assessee has shown long-term capital gain of Rs. 4,99,062 on the sale of 9000 shares of Kalyani Commercial Ltd. and the entire capital gain has been claimed to be exempted under s. 54F of the Act. The learned AO required the assessee to furnish the following informations. 1. No. of shares purchased with distinctive numbers, date and rate as on the date of purchase with proof, complete name and address of the company, date of sale of shares with proof of rate on the date of sale. 2.....
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....ation of the assessee still required the following other informations. 1. Copy of transfer certificates of shares. 2. Details of commission charged by Maheswari Sons and J.K Jain Co., through which the shares were claimed to be sold along with expenses such as service-tax etc. with confirmation. 3. Copy of bank book of the appellant for the relevant period. 4. Date of delivery of shares from M/s Maheswari Sons, Delhi. 5. Details of shares purchased in the previous years. 6. Mode of payments received from the share broker on sale of shares. 7. Complete name and address of the persons (who) purchased the shares through the share broker and date of delivery. 6. The learned AO also recorded the statement of the assessee ....
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....ed income in the construction/purchase of house property with a view to get a benefit of the provisions of s. 54 of the Act and therefore, there was no capital earned by the assessee and the investment of Rs. 4,99,062 claimed in the purchase/construction of residential house is the unexplained investment made by her out of unexplained income and thus, he added the same under s. 69 of that Act. 7. The learned CIT(A), on the contrary, deleted the impugned addition referring to details/materials and evidences available on record which according to him clearly suggested that these transactions cannot be held bogus. He has further held that the assessee earned profit of Rs. 4,99,062 as per sale of shares through broker which has been invested....
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....y of DD No. 763232 indicating payment of Rs. 32,400 towards cost of share. (iv) Letter dt. 10th June, 1995 from Kalyani Commercials Ltd. regarding transfer of share certificates in the name of assessee along with the photocopy of the transferred share certificate in the name of assessee. (v) Contract note dt. 18th July, 1996 and bill dt. 25th July, 1996 from J.K. Jain and Co., confirming sale of above shares @ 59.15 per share amounting to Rs. 5,32,350. (vi) Copy of Jaipur Stock Exchange quotation rate dt. 18th July, 1996 indicating the quoted rate of share at Rs. 59.60. (vii) Copy of DD No. 052411 for Rs. 5,31,552 indicating receipt of payment against the sale of the said shares. 10. For making addition under s. 69 of the Act....
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.... in cash has no basis. The assessee has accepted having invested her funds on the advice of her father-in-law. The burden of proving a transaction is always on the person asserting it to be bogus and this burden has to be strictly discharged by adducing legal evidence of a character which would either directly prove the fact of bogusness or establish circumstances unerringly and reasonably raising an inference to that effect. 11. The assessee made payment for the purchase from her own sources through banking channel. The shares were transferred in the name of the assessee and were held by her for more than one year. There is no relationship between the party from whom the assessee purchased the shares and the party to whom these were sol....