Share Application Money Forfeiture is Capital Receipt & Not Taxable u/s 68

ITO Vs Vatika Rayons Pvt Ltd (ITAT Mumbai) Share Application Money Forfeiture of ₹3 Cr Held Capital Receipt- Not Taxable u/s 68– Revenue’s Appeal Dismissed ITAT Mumbai Revenue filed an appeal before ITAT Mumbai against the order of CIT(A) for AY 2014-15. Assessee had filed its return declaring NIL income. AO completed assessment u/s 143(3) on 29.12.2016 & made multiple additions: ₹3,00,00,000 – forfeited share application money (including share premium) treated as unexplained cash credit u/s 68. ₹3,32,784- business expenditure disallowed, restricting allowable expenses to ...