Section 2(22) Not Applicable to Non-Beneficiary Shareholders: ITAT Kolkata

DCIT Vs Eko Diagnostic Pvt. Ltd. (ITAT Kolkata) Introduction: The case of DCIT Vs Eko Diagnostic Pvt. Ltd. revolves around the applicability of Section 2(22)(e) of the Income Tax Act to non-beneficiary shareholders in companies receiving loans. The dispute arose from the assessment for the Assessment Year 2013-14, where the Assessing Officer invoked Section 2(22)(e) to tax a loan received by the assessee from Calcutta Medical Imaging Institute Ltd. Detailed Analysis: The crux of the matter lies in whether the assessee, not being a shareholder in the lending company, could be subjected to the p...