TaxTMI 
TaxTMI 
2021 (12) TMI 15
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....eturn of income on 24.08.2015 declaring total income at Rs. 18,11,640/-. In course of assessment proceedings, the Assessing Officer (AO) noticed that in the year under consideration, the assessee had earned long term capital gain of Rs. 1,23,09,953/-, which was offered under Income Disclosure Scheme-2016 (IDS) and tax due was paid. Thus, based on such information, and following CBDT Instruction No. 12 of 2016 dated 11.11.2016, the AO completed the assessment under section 143(3) of the Act accepting the income returned by the assessee. Subsequently, in exercise of power conferred under section 263 of the Act, learned Pr. CIT called for and examined the assessment records of the assessee for the impugned assessment year. After examining the ....
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....ased the scrip in a transaction conducted in stock exchange. Therefore, it cannot be said that assessee has not paid the purchase cost without proving the fact that the money paid through cheque has again returned back to the assessee. Further, he submitted, merely on presumption surmises it cannot be said that the assessee has paid commission for obtaining accommodation entry relating to long term capital gain. In support of such contention, learned Counsel relied upon the following decisions:- "i. Manju Osatwal Vs. Pr. CIT-10, Kol in ITA No. 707/Kol/2019 dt. 15/01/2020 ii. Mrs. Manisha Ajay Shah Vs. Pr. CIT-30, Mumbai in ITA No. 3001/Mum/2019 dt. 14/10/2020 iii. Mr. Akshay Ramprasad Agarwal Vs. ITO 17(1)(1), Mum....
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....e is no material on record to suggest that the payment made of Rs. 2,00,000 through cheque towards purchase cost has been routed back to the assessee. There is nothing on record to suggest that the assessee has paid commission for obtaining accommodation entry. A reading of the impugned order passed under section 263 of the Act reveals that merely on presumption and surmises learned PCIT has assumed jurisdiction under section 263 of the Act. It is also evident, before the revisionary authority assessee has specifically stated that all relevant materials including evidence for payment made towards purchase cost were furnished before the AO. Therefore, it cannot be said that the AO has not enquired into the issue. It could be a fact that afte....
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....e transaction. 5. After examining the documents on record we do not concur with the view of the PCIT. The assessee has demonstrated from the bank statement that the amount has been paid for purchase of shares of GCM Securities Ltd. through cheque. This is further corroborated by share application form of GCM Securities at page 22 of the Paper Book and transaction-cum-holding statement in the case of assessee issued by Stock Holding Corporation of India Ltd. at page 19 of the Paper Book. The documents furnished by the assessee clearly indicates that the shares were indeed purchased by the assessee through banking transactions. It is not the case of the Revenue that the amount paid by the assessee for purchase of shares has travelled....