{"id":13909,"date":"2019-09-07T11:17:16","date_gmt":"2019-09-07T05:47:16","guid":{"rendered":"http:\/\/itatonline.org\/info\/?p=13909"},"modified":"2019-09-07T11:17:16","modified_gmt":"2019-09-07T05:47:16","slug":"cbdt-excludes-bogus-penny-stocks-scam-cases-from-benefit-of-low-tax-effect-circular","status":"publish","type":"post","link":"https:\/\/itatonline.org\/info\/cbdt-excludes-bogus-penny-stocks-scam-cases-from-benefit-of-low-tax-effect-circular\/","title":{"rendered":"CBDT Excludes Bogus Penny Stocks Scam Cases From Benefit Of Low-Tax Effect Circular"},"content":{"rendered":"<p>The CBDT has vide Circular No. 23 of 2019 dated 6th September 2019 stated that cases where organised tax-evasion scam is noticed through bogus Long-Term Capital Gain (LTCG)\/Short Term Capital Loss (STCL) on penny stocks will be excluded from the benefit of the enhanced monetary limits stipulated in <a href=\"https:\/\/itatonline.org\/info\/cbdt-further-enhances-monetary-limits-for-filing-appeals-by-dept\/\">Circular no. 17 of 2019 dated 08.08.2019<\/a>. The CBDT may by way of special order direct filing of appeal on merit in cases involved in organised tax evasion activity<\/p>\n<p><script async src=\"\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js\"><\/script><br \/>\n<!-- responsive --><br \/>\n<ins class=\"adsbygoogle\"\n     style=\"display:block\"\n     data-ad-client=\"ca-pub-6440093791992877\"\n     data-ad-slot=\"6406297397\"\n     data-ad-format=\"auto\"><\/ins><br \/>\n<script>\n(adsbygoogle = window.adsbygoogle || []).push({});\n<\/script> <\/p>\n<div class=\"journal2\"><a href=\"https:\/\/itatonline.org\/info\/cbdt-bogus-penny-stocks-2\/#blurbdl\">Click here to download Circular No. 23 of 2019 dated 6th September 2019<\/a><\/div>\n<div class=\"journal2\"> See also: <a href=\"https:\/\/itatonline.org\/articles_new\/standard-operating-procedure-sop-to-handle-cases-of-bogus-long-term-capital-gain-loss-mainly-penny-stock\/\">Standard operating procedure (sop) to handle cases of bogus long term capital gain\/loss mainly penny stock<\/a> <\/div>\n<div class=\"journal2\">See also: <a href=\"https:\/\/itatonline.org\/articles_new\/penny-stocks-modus-operandi-for-generating-bogus-capital-gains-law-practice\/\">Penny Stocks: Capital Gains, Law &#038; Practice by Advocate Paras S. Savla<\/a><\/div>\n<blockquote><p>Circular No. 23 of 2019<br \/>\nF. No. 279\/Misc.\/M-93\/2018-ITJ(Pt.)<br \/>\nGovernment of India<br \/>\nMinistry of Finance<br \/>\nDepartment of Revenue<br \/>\nCentral Board Direct Taxes<br \/>\nJudicial Section<br \/>\nNew Delhi, 6th September 2019<\/p>\n<p>Subject: -Exception to monetary limits for filing appeals specified in any Circular issued under Section 268A of the Income-tax Act, 1961-reg<\/p>\n<p>Reference is invited to the Circulars issued from time to time by Central Board of Direct Taxes (the Board) under section 268A of the Income-tax Act,1961 (the Act), for laying down monetary limits and other conditions for filing of departmental appeals before Income Tax Appellate Tribunal (ITAT), High Courts and SLPs\/appeals before Supreme Court.<\/p>\n<p>2. Several references have been received by the Board that in large number of cases where organised tax-evasion scam is noticed through bogus Long-Term Capital Gain (LTCG)\/Short Term Capital Loss (STCL) on penny stocks and department is unable to pursue the cases in higher judicial fora on account of enhanced monetary limits. It has been reported that in large number of cases, ITATs and High Court have recognized the unique modus operandi involved in such scam and have passed judgements in favour of the revenue.<\/p>\n<p>However, in cases where some appellate fora have not given due consideration to position of law or facts investigated by the department, there is no remedy available with the department for filing further appeal in view of the prescribed monetary limits.<\/p>\n<p>3. In this context, Board has decided that notwithstanding anything contained in any circular issued u\/s 268A specifying monetary limits for filing of departmental appeals before Income Tax Appellate Tribunal (ITAT), High Courts and SLPs\/appeals before Supreme Court. appeals may be filed on merits as an exception to said circular, where Board, by way of special order direct filing of appeal on merit in cases involved in organised tax evasion activity.<\/p>\n<p>4. Hindi version follows.<\/p>\n<p>(Neetika Bansal)<br \/>\nDirector (lTJ)<br \/>\nCBDT, New Delhi<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>The CBDT has vide Circular No. 23 of 2019 dated 6th September 2019 stated that cases where organised tax-evasion scam is noticed through bogus Long-Term Capital Gain (LTCG)\/Short Term Capital Loss (STCL) on penny stocks will be excluded from the benefit of the enhanced monetary limits stipulated in <a href=\"http:\/\/itatonline.org\/info\/cbdt-further-enhances-monetary-limits-for-filing-appeals-by-dept\/\">Circular no. 17 of 2019 dated 08.08.2019<\/a>. The CBDT may by way of special order direct filing of appeal on merit in cases involved in organised tax evasion activity<\/p>\n<div class=\"read-more\"><a href=\"https:\/\/itatonline.org\/info\/cbdt-excludes-bogus-penny-stocks-scam-cases-from-benefit-of-low-tax-effect-circular\/\">Read more &#8250;<\/a><\/div>\n<p><!-- end of .read-more --><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_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":[1,7],"tags":[],"class_list":["post-13909","post","type-post","status-publish","format-standard","hentry","category-all-information","category-others"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/info\/wp-json\/wp\/v2\/posts\/13909","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/info\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/info\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/info\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/info\/wp-json\/wp\/v2\/comments?post=13909"}],"version-history":[{"count":0,"href":"https:\/\/itatonline.org\/info\/wp-json\/wp\/v2\/posts\/13909\/revisions"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/info\/wp-json\/wp\/v2\/media?parent=13909"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/info\/wp-json\/wp\/v2\/categories?post=13909"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/info\/wp-json\/wp\/v2\/tags?post=13909"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}