TaxTMI 
TaxTMI 
2025 (11) TMI 1615
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....ial questions of law arising out of the order dated 18.09.2023 passed by the Income Tax Appellate Tribunal, Surat [for short 'the Tribunal'] in ITA No. 498/SRT/2023 for the Assessment Year 2011-12: "1. Whether on the facts and in the circumstances of the case and in law, the Hon'ble ITAT was justified in deleting the addition of sale proceeds of the share of Rs. 7,15,679/ on account of unexplained income arising out of sale of shares of Global Capital Markets Limited, a penny stock and without appreciating the findings of the Assessing Officer that the price movement of the company were not supported by financial fundamentals of the company? 2. Whether on the facts and in the circumstances of the case and in law, the Hon&#....
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.... Whether on the facts and circumstances of the case and in law, the Ld. Tribunal was justified in holding the sham transactions of the Assessee as genuine simply on the ground that the shares were held by the Assessee, as an investor for a period of seven/eight years and overlooking the investigation carried out by the Income Tax Department? 7. Whether on the facts and circumstances of the case and in law, the Ld. Tribunal was justified in holding that the ratio of the decision of the Hon'ble Kolkata High Court in the case of PCIT Vs. Swati Bajaj, ITA No. 06/2022, dated 14.06.2022 is not applicable and has not appreciated that the addition in the said case has been made on the basis of the inquiry report of the Kolkata Investig....
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....bal Capital Markets Ltd should not be added to income of assessee. 3.5 In response to the show-cause notice issued by the Assessing Officer, the assessee filed reply dated 28.11.2018 along with copy of return of income, computation of total income, Bank Statement showing gain earned on sale of scrip, copy of Demat account, broker note of shares sold and copy of ledger account of broker. 3.6 The Assessing Officer, however, did not accept the reply and held that he was having information that the scrip of Global Capital Markets Ltd is used for generating bogus long term capital gain and long term capital loss by recording modus operendi of penny stock and held that entities involved in the transactions were either bogus or devoid of any....
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....try twice including one which is reversed on the same date. Even such fact was not examined by assessing officer, The assessing officer made addition of credit without application of mind. The assessee explained that he made transaction of sale of shares in the legitimate manner and paid STT. The assessee further explained that the holding period of the shares was more than seven years and all the evidences with regard to purchase and sale of scrips was furnished. No comment on such evidence was made by assessing officer on such evidences. The assessing officer has not discussed the basic fact, whether the name of assessee was mentioned in the alleged information or the broker of the assessee was involved in price manipulation with stock ex....