Addition u/s. 68 not sustained since genuineness of share capital transaction established: ITAT Kolkata

Megapix Vanijya Pvt. Ltd Vs ITO (ITAT Kolkata) ITAT Kolkata held that addition under section 68 of the Income Tax Act as unexplained cash credit not sustainable since identity, creditworthiness and genuineness of the transaction relating to the share capital sufficiently established. Facts- During scrutiny assessment, AO noted that the assessee company had received share capital amounting to Rs.2,62,00,000/-. However, AO questioned the genuineness of the transaction and issued summons u/s 131 of the Act to the director of the assessee company and to the share-subscribers. Although, the share-s...