9911796707
TMI Blog2019 (6) TMI 1699X X X X Extracts X X X X X X X X Extracts X X X X ..... ation entries, but that material fact alone without any other further inquiry or any other material to link that assessee to be involved in any sham transaction or beneficiary of any accommodation entry. Theoretical discussion made by the AO cannot nail the assessee. The sales turnover of PSIT Infrastructure goes to show that it had the sale turnover at Rs. 328.38 crore in March, 2016 and similarly in case of Pearl Agriculture also sales turnover was Rs. 23.89 crore in March, 2014. Thus, to hold that these companies were purely a paper company without any business credential cannot be accepted. Assessee had dealt in several scrips over the period of time and has been regular investor in shares and has been showing gain and loss in th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in shares and has been showing capital gain from such shares every year. In so far as the issue relating to Short Term Capital of Rs.1,23,273/-, the assessee had shown these gain from sale of equity shares of M/s. Pearl Agriculture and PSIT Infrastructure which were 550 scrips and 5000 scrips (500 shares of Rs.10 each were split into 5000 scrips of Rs.1 each) respectively. The sale consideration for these shares were shown at Rs.1,94,477/- (M/s. M/s. Pearl Agriculture ) and Rs. 2,72,544/- (PSIT Infrastructure). Out of 550 equity shares of M/s. Pearl Agriculture, 50 shares were sold through broker, SMC Global Securities, New Delhi; and balance 500 shares of M/s. Pearl Agriculture and 500 shares of PSIT Infrastructure were sold through Br ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s only to the extent of Short Term Capital Gain of Rs. 1,23,173/- which has been treated as bogus. Neither the purchase nor the sale has been doubted for the reason that gross sales have not been added by the Assessing Officer. The assessee had shown purchases of these shares aggregating to Rs.4,67,021/- which have been purchased between March, 2014 to May, 2014 and were sold between May, 2014 to November, 2014 at Rs.5,90,193/- and thereby have shown Short Term Capital Gain at Rs.1,23,173/-. Nowhere the Assessing Officer has pointed out the historical data of prices of these scrips and whether there was an astronomical rise of price from the date of purchases to the date of sales, leading to any dubious nature in marginal of gain of Rs.1,23 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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