2020 (10) TMI 660

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ments accepted the same and made no addition. Merely for the reason that the Assessing Officer has taken a plausible view after examining the records that is not acceptable to the PCIT, would not make the assessment order erroneous. In the present case twin conditions set out in section 263 are not satisfied and hence, the PCIT wrongly assumed revisional jurisdiction. - Decided in favour of assessee. - ITA NO. 3001/MUM/2019 - - - Dated:- 14-10-2020 - SHRI VIKAS AWASTHY, JUDICIAL MEMBER And SHRI RAJESH KUMAR, ACCOUNTANT MEMBER Appellant by : None Respondent by : Shri Purushottam Tripuri ORDER PER VIKAS AWASTHY , JM : This appeal by the assessee is directed against the order of Principal Commissioner of Income Ta .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... of Capital Gain only in IDS 2016. The assessee ought to have declared gross sale price of the shares i.e. ₹ 34,30,000/-. Before the PCIT, the assessee contended that it is only profit element on sale of shares that is taxable and not the gross sale price. The purchase price i.e. ₹ 1,43,185/- has to be deducted from the sale price. The assessee in order to substantiate that assessee in fact paid for purchase of shares, furnished copy of share application form and copy of Dena Bank statement (at page 22 and 28 of the Paper Book, respectively). The contention of the assessee before the PCIT was that the purchase and sale of GCM Securities shares is genuine and through authorized broker. To substantiate her contentions the assessee .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... hares. The immunity is granted to the assessee to the extent declaration is made under IDS 2016 and not against the entire transaction. The PCIT invoked revisional jurisdiction to tax the difference between gross sale price of the shares ₹ 34,30,000/- and Long Term Capital Gains declared by the assessee ₹ 32,86,815/-. In other words, the PCIT seeks to tax even the purchase cost of the shares i.e. ₹ 1,43,185/- stating it to be a bogus purchase 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 shar .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X