9911796707
TMI Blog2023 (11) TMI 647X X X X Extracts X X X X X X X X Extracts X X X X ..... s Limited has involved in the entire transactions except that the assessee through ASE Capital Markets Limited has purchased and sold the shares. The same is related to scrips of Comfincap, Radford Global Limited, SIMIL, Turbo Tech Engineering Limited and Dhenu Buildcon Infra Limited. The documents such as contract notes, investor s report and client-wise sauda summary were before the Assessing Officer but the Assessing Officer has not taken cognisance of these documents thereby stating that the assessee was directly involved in sham and bogus transactions of entry providers. Though AO has given the chart of fluctuation as well as increase of the data during the said period, the same cannot be the sufficient reason for disallowing the bu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... esponse to the notices, the Chartered Accountant of the assessee attended the assessment proceedings from time to time and furnished the details called for. After verification of the books of account, the Assessing Officer observed that the among other few shares the assessee has also carried out share transactions in following scrips which were admittedly used by the entry providers for providing accommodation entry of Long Term Capital Gain/Short Term Capital Gain/Business Loss etc :- Name of the scrip PURCHASE SALE PROFIT/LOSS Qty. Value Qty. Value Loss ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ealt with. The Assessing Officer has also given his remarks regarding statement wherein admission of share brokers was recorded and offered his observation. The Assessing Officer, therefore, concluded that the transaction of purchase and sale of shares of Comfort Fincap Limited, Radford Global Limited, SMIL, Turbo Tech Engineering Limited and Dhenu Buildcon Infra Limited were sham transactions and the amount of Rs. 1,53,890/- claimed as loss on trading in these shares were treated as bogus and the same was disallowed. 5. Being aggrieved by the Assessment Order, the assessee filed appeal before the CIT(A). The CIT(A) dismissed the appeal of the assessee. 6. The Ld. AR submitted that the Investors Report from 01.04.2013 to 31.03.2014 r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hese evidence are to be taken into account by the Assessing Officer and merely observing that the statements are general in nature cannot suffice the Revenue s case. The admission mentioned in paragraph no.4.8 of the Assessment Order has nothing to do with the transaction of the assessee as nowhere the said persons have any connection with the assessee regarding transactions carried out and nowhere there is any mention of assessee having been the beneficiary of any such loss. The Ld. AR further submitted that the disallowance of loss was merely on irrelevant ground and without taking into account copies of the Ledger Account, invoices and account of recognised brokers account through whom the shares were traded by the assessee which was the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... shares. The same is related to scrips of Comfincap, Radford Global Limited, SIMIL, Turbo Tech Engineering Limited and Dhenu Buildcon Infra Limited. The documents such as contract notes, investor s report and client-wise sauda summary were before the Assessing Officer but the Assessing Officer has not taken cognisance of these documents thereby stating that the assessee was directly involved in sham and bogus transactions of entry providers. Though the Assessing Officer has given the chart of fluctuation as well as increase of the data during the said period, the same cannot be the sufficient reason for disallowing the business loss of the assessee. Thus, the Assessing Officer was not right in disallowing the claim of business loss of the a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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