2025 (12) TMI 1173

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....s 147 r.w.s 143(3) of the Income Tax Act, 1961 (hereinafter referred to as 'the Act') passed by the ACIT, Central Circle-15 for AY: 2017-18. 2. The assessee is an individual and during the year under consideration had filed return declaring income of Rs. 2,72,93,110/- and the case was reopened by assumption of jurisdiction u/s 147/148 of the Act and the AO examined the Long Term Capital Gain (in short 'LTCG') of Rs. 1,57,77,877/- claimed to have been earned by assessee on sale of shares of Capital Trade Link and a gain of Rs. 1,71,47,430/- on sale of shares of Alankit Limited. The claim of the assessee u/s 10(38) of the Act was found to be not genuine and considering it to be a case of bogus capital gain, the entire sale consideration of....

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....ar No. SMDRP/Policy/CIT-21/99, dated 14th September, 1999 issued by SEBI which banned all negotiated deals including cross deals according to which off market purchases of shares done by the assessee at a meager price of Rs. 1 per share was clearly not a genuine transaction and was used as colorable device by the assessee to gain from the future exponential rise in price of the scrip of M/s Capital Tradelinks Ltd. through manipulated trading. 5.(a) The order of the Ld. CIT(A) is erroneous and not tenable in law and on facts. (b) The appellant craves leave to add, amend any/all the grounds of appeal before or during the course of hearing of the appeal." 3. On hearing both the sides we find that Ld. DR has heavily relied the conte....

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.... analysed the trading pattern of this scrip and just by seeing the trading pattern, he has concluded that the assessee has taken bogus capital gain. From the chart of share trading pattern of this scrip it is evident that the scrip was traded at its highest value in Nov.2017 and Dec.2017, however, the appellant has sold her shares in May 2016. Had there been a case of taking bogus capital, the appellant would have sold her scrips at the highest price band. Hence, just from seeing the trading pattern it cannot be concluded that the appellant has taken bogus capital gain. The AO has also failed to bring any contrary findings on the basis of which it can be concluded that the profit earned was non-genuine. The AO himself has mentioned that Ala....