ITAT Quashes Reassessment as AO Changed Reason from Fake Loan Entries to Penny Stock LTCG

Pinkal Rajeshbhai Patel Vs ITO (ITAT Ahmedabad) In this case, the assessee challenged the validity of reassessment proceedings initiated under Section 147 of the Income-tax Act for Assessment Year 2015-16. The assessee filed return of income on 30.09.2015 declaring total income of Rs.8,33,240 after claiming deduction under Chapter VI-A of Rs.2,18,438. The assessee also declared exempt agricultural income of Rs.1,10,051 and exempt Long Term Capital Gain (LTCG) of Rs.54,52,613. Subsequently, the Assessing Officer issued notice under Section 148 dated 31.03.2021 reopening the assessment. In respo...