TaxTMI 
TaxTMI 
2020 (1) TMI 354
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....ion made by the AO on account of long term capital gain of Rs. 21,05,853/- earned by the assessee on sale of shares of Mis. KappacPharma Ltd. and treated the same as bogus and is taxable as unexplained cash credit U/S 68 r.w.s. 115 BBE of the Income Tax Act. 3.That the Ld. CIT(A)/Assessing Officer has grossly erred in law and on facts of the appellant case in holding that assessee manipulated the transactions to earn long term capital gain. Such findings are contrary to evidences filed by the assessee and there is no evidence of assessee's involvement in any way in the alleged manipulations. 4.That the findings and allegations made by the Ld. CIT(A)/ AO by relying on the outcome of alleged investigations made by the Investigation Wing of Income Tax Department in Kolkata and observation of NSE/SEBI/SIT are based on surmises conjectures and imagination without any live link or involvement of the assessee with the alleged investigations. 5. That the Ld. CIT(A)/AO grossly erred in .law in holding that the assessee's name appeared in the list of beneficiaries investigated by the Kolkata Investigation Wing of the Income Tax Department and inferences drawn against the assess....
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....ase with these judgements. Thus, prayed to be applied on the assessee's case. 15. That the reliance of the Ld. CIT(A)/AO on certain judgments in the CIT(A) Order as well as Assessment Order are misplaced and prayed not to be applied on the assessee's facts. 16. That the Ld. CIT/AO grossly erred in law in treating the transaction of sale of shares of Kappac Pharrna Ltd. as ingenuine although the transaction of purchase of such shares was already accepted by the Ld. AO in earlier years. 17. The addition made by the AO and further confirmed by the CIT(A) of Rs. 1,43,210/- on the alleged commission paid to one Sh. Davesh Upadhaya is bad in law and is without evidence. 18. That the assessee had no link or connection with the said Upadhaya and the additions has been made on conjectures, surmises and imagination and is prayed to be deleted. 19. That the charging of interest U/S 234B and 234C of the Income Tax Act is bad in law and is prayed to be deleted. . 20. That the penalty proceedings initiated U/S See 271(1)(c) are on wholly illegal and untenable grounds since there was submission of inaccurate particulars of income, by the assessee. 21. That the aforesaid grou....
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....f fair play and natural justice. The Order passed ignoring these vital principles is prayed to be quashed. 9. That the Ld. CIT(A)/Assessing Officer grossly erred in law in holding that assessee was not regular ordinary investor although it was holding shares in many other companies, apart from M/s. Kappac Pharma Ltd. 10. That no evidence has been brought on record of the Hon'ble CIT(A)/Assessing Officer which conveys that assessee was involved in converting its unaccounted money through the route of exempt capital gains. The Order is prayed to be declared as null and void. 11. That the references made by the Ld. AO in his order pertaining to the financials of M/s. Kappac Pharma Ltd. or Kailash Auto Finance Ltd. or modus operandi adopted by the certain unrelated concerns/persons and further upheld by the Ld. CIT(A) has no connection or relevance to the facts of the assessee's case and the same are prayed to be expunged. 12. That the findings and observations of the Ld. CIT(A)/Assessing Officer in their Orders regarding penny stock is based on conjectures, surmises and imagination and are prayed to be held as legally untenable. 13. That the Ld. CIT(A) grossly erred ....
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....Delhi High Court and requested that by following the aforesaid precedents the appeal of the assessee may be dismissed. 3. However, Ld. Counsel for the assessee reiterated the grounds of appeal and has not produced any contrary order which controverts the contention of the Ld. DR, as aforesaid. He draw my attention towards Paper Book containing pages 1-70 in which he has attached the Memorandum of Appeal in Form no. 36; Grounds of Appeal; Certified true copy of assessment order dated 29.12.2016 u/s 143(3) of the Act passed by the ITO; certified copy of CIT(A) order u/s. 250 of the Act dated 17.12.2018 passed by the Ld. CIT(A)-13, New Delhi; Form No. 35, Grounds of appeal and Statement of Facts before CIT(A), New Delhi, Tribunal Fee Challan for Rs. 10,000/- and Power of Attorney in our favour. He has draw my attention towards another Paper Book containing pages 1-175 in which he has attached the various copies of the decisions of the Tribunal, Hon'ble High Courts and the Hon'ble Supreme Court of India to support the case of the assessee and also stated that the case laws relied by the Ld. Sr. DR is distinguished on the facts of the present case as mentioned in the Written Submissio....