The AO assessed the consideration received on sale of shares\u00a0 \u00a0as penny stock \u00a0and denied the exemption on the basis of information received from the Investigation wing \u00a0pertaining to survey action conducted in the case of company .i. e. First Financial Services Ltd in whose shares the asseee had transacted , statements recorded of other beneficiaries , finding of the Securities Exchange Board of India ( SEBI) vide interim orders in case of First Financial Services Ltd , statement of\u00a0 assessee recorded pursuant summons issued u\/s 131 \u00a0of the Act , came to the conclusion that the proce received by the \u00a0assessee as accommodation entry, which has been laundered in the form of bogus profit on sale of shares . Accordingly the consideration received was assessed as unexplained investments . \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0The disallowance was affirmed by the CIT(A). On appeal the Tribunal held that \u00a0the interim order of the SEBI was revoked \u00a0and\u00a0 shares of First Financial Services Ltd\u00a0 was not treated as penny stock . \u00a0Accordingly the \u00a0addition was deleted . ( ITA .No. 143\/M\/ 2022 dt .13 -10 -2022)(AY. 2013 -14 )<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 69 :Unexplained investments \u2013 Long term capital gains -Penny stock \u2013 Denial of exemption is not valid . [ S. 10(38), 45, 131 , 133A ]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-30384","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-7U4","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/30384","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=30384"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/30384\/revisions"}],"predecessor-version":[{"id":30385,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/30384\/revisions\/30385"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=30384"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=30384"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=30384"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}