2007 (5) TMI 552

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....ent. JUDGMENT 1. The present appeal under section 260A of the Income-tax Act, 1961 (hereinafter referred to as 'the Act') has been filed by the two assessees which has been admitted by this Court vide order dated 26-9-2006 on the following substantial question of law:- "Whether under the facts and circumstances of the case, the Tribunal was justified in not deciding the controversy involv....

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....ing further enquiries. 3. We have heard Shri Shakeel Ahmad, learned counsel for the appellants and Shri R.K. Upadhyaya, learned Standing Counsel for the revenue. 4. Learned counsel for the appellant submitted that no addition under section 68 could be made in respect of the subscription amount towards the share capital of a company limited by shares whether it is private or public and in sup....

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.... no circumstances, can the amount of share capital be regarded as undisclosed income of the assessee. It may be that there are some bogus shareholders in whose name shares had been issued and the money may have been provided by some other persons. If the assessment of the persons who are alleged to have really advanced the money is sought to be reopened, that would have made some sense but we fail....