9911796707
TMI Blog2019 (11) TMI 1845X X X X Extracts X X X X X X X X Extracts X X X X ..... de by the Learned Assessing Officer; without considering the fact, "that appellant has sold the Equity Share duly listed in recognised Stock Exchange through the SEBI, BSE & NSE recognised Broker and on which STT has been paid. Further all the contract notes were placed on record. All transactions of Sale & Purchase of said Listed Equity shares has been done through account payee cheques only and same were duly reflected in appellant's bank account and the said shares were kept more than a year in his Demat account. 2. On the facts and circumstances of the case Learned Commissioner of Income Tax (Appeals) erred in confirming the addition of Rs. 20,650/- of Unexplained expenditure U/s 69C made by the Learned Assessing Officer; without ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es of M/s Matra Kaushal Enterprises Ltd., which were also dematerialized and subsequently sold. It was further submitted that since the payments have been made/received through banking channel, therefore the action of the AO of making the said addition u/s 68 after rejecting its claim of LTCG is not correct. Moreover, in support of its transactions of purchase/sale of shares of M/s Matra Kaushal Enterprises Ltd, the assessee had submitted before the AO as well as the undersigned, the copy of share certificate of M/s Kaushalya Global Ltd., bank statement, Demat Account, sale bills of M/s Prabhudas Liladhar (P) Ltd., etc. It is also observed that the AO has not made any addition on account of unexplained expenditure u/s 69C for obtaining the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aterialization of the shares as well as the time of sale coincides with the spiraling price of the said scrip. 5.5 Moreover, it is observed that the shares of M/s Kaushalya Global Ltd (which got amalgamated with M/s Matra Kaushal Enterprises P Ltd) which were allegedly purchased @ Rs 10/- per share have been sold at an average rate of around @ Rs 517/- per share. The assessee has not been in a position to justify its decision of trading in the shares of the said scrip which had weak fundamentals. The fantastic sale price was not at all possible as there was no economic or financial basis as to how the shares of this scrip would jump from nominal amount to such higher amount. These facts also expose the dubious nature of the transactions o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sole purpose of misusing the exemption provided u/s 10(38). If one considers the peculiar facts of this case, the claim of the assessee of Long term capital Gain does not accord with human probabilities and the ratio of the decisions of the Hon'ble Supreme Court in the cases of Durga Prasad More (supra) and Sumati Dayal (supra) are clearly attracted. Therefore, no infirmity is found in the action of the AO of treating the assessee's claim of LTCG as non-genuine. 4. Against the above order assessee is in appeal before us. 5. We have heard both the counsel and perused the records. We note that learned CIT(A) has given a finding that there is no economic or financial basis as to how the shares of a little known company jumping manifo ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
