Bogus LTCG on Penny Stock: ITAT Ahmedabad Upholds Addition

Gitaben Dineshbhai Patel Vs ITO (ITAT Ahmedabad) ITAT Ahmedabad Upholds Addition on Penny Stock Gains — Reopening Valid & LTCG Held Bogus u/s 68 Assessee filed an appeal against the order of CIT(A), NFAC, confirming addition of ₹93,92,789/- u/s 68. The addition represented Long-Term Capital Gain (LTCG) on sale of shares of Kushal Tradelink Ltd., claimed exempt u/s 10(38). AO, based on information from the Investigation Wing & SEBI findings, held that the company was a penny stock used for providing accommodation entries & treated the LTCG as unexplained income. Before CIT(A), A...