TaxTMI 
TaxTMI 
2025 (6) TMI 2054
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....T(A)") dated June 15, 2024, passed under Section 250 of the Income-tax Act, 1961 (hereinafter referred to as "the Act") for Assessment Year (A.Y.) 2016-17. 2. The revenue has raised the following grounds of appeal: "1. On the facts and circumstances of the case and in law, Ld. CIT(A) has erred in deleting the addition made by the AO without appreciating the facts of the case and modus operandi as a detailed investigation has been carried out by the Investigation Wing in the scrip of M/s Yamini Investment Company Limited where the assessee name has been surfaced and a detailed finding has been given by the Investigation Wing. 2. On the facts and the circumstances of the case and in law the Ld. CIT(A) erred in deleting th....
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....and in law the Ld. CIT(A) erred in ignoring the direct and circumstantial evidence brought on record by the Assessing Officer to establish that the assessee has indulged in manipulation of the share prices of M/s Yamini Investment Company Limited claiming these as exempt from taxation. 7. On the facts and circumstance of the case and in law the order of the Ld. CIT(A) suffers from perversity as it ignores the facts brought on record establishing manipulation of share prices of M/s Yamini Investment Company Limited as part of colourable device to generate fictitious Long Term Capital Gain with the aim to evade taxes due. 8. On the facts and circumstance of the case and in law the Ld. CIT(A)erred in deleting the addition of ....
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....sent consolidated order. 5. We have heard the counsels for both the parties, perused the material placed on record, judgments cited before us and also the orders passed by the revenue authorities. 6. From these facts, we notice that the assessee was allotted 12,500 equity shares of M/s Anax Com Trade Ltd. on 21.01.2013 for a value paid amounting to Rs. 1,25,000/- at face value of Rs. 10. Thereafter, M/s. Anax Com Trade Ltd. split the face value of the shares from Rs. 10 to Rs. 1. However, on 09.05.2014, the said 1,25,000 shares of M/s Anax Com Trade Ltd. were converted, by merger/amalgamation, following the Hon'ble Bombay High Court order to 1,00,000 shares of Yamini Investments Company Ltd. (Yamini). Hence, the basic contention of th....
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....s had been credited to the assessee's bank account. And this hence, the nature of the transaction was clearly purchase and sale of shares and the source of the credit, from the material facts on record were quite evident that it was from the sale of shares. As there was no tangible material brought on record to convert these transactions then it is very difficult to treat the sale proceeds of the shares as unexplained cash credit to be added under deeming provisions of section 68. We also found from the records that there was no evidence or any whisper that some unaccounted money had been routed, and hence, in our view, the sale proceeds could not be added. 7. Reliance is being placed on the case involving the Yamini Investments Comp....
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....opinion, reliance placed on the decision of the Mumbai Tribunal would not come to the rescue of the revenue. 14. Further, we find that in assessee's brother's case, Shri Rajiv Madan, in respect of identical facts of sale of shares of Yamini Investment Company Limited, the income tax department had accepted the claim of short term capital gains disclosed by him to be genuine in the reopened assessment proceedings under section 143(3) read with section 147 of the Act dated 26-5-23. The learned AR placed on record the copy of the said assessment order in pages 53-56 of the synopsis. This evidence also goes against the department wherein for the same set of shares, in case of assessee's brother, the entire transactions have....