Bogus LTCG on Penny Stock? SEBI Clean Chit Saves Assessee – ITAT Delhi

ITO Vs Mahavir Singhal (ITAT Delhi) Bogus LTCG on Penny Stock? SEBI Clean Chit Saves Assessee – ITAT Delhi Dismisses Revenue Appeal In a significant ruling, Delhi Tribunal  upheld CIT(A)’s deletion of additions made by AO on alleged bogus Long-Term Capital Gains (LTCG) & unexplained expenditure arising from penny stock transactions in shares of M/s Kailash Auto Finance Ltd. Assessee, an individual, filed return declaring income of ₹5,00,670/-. Case was scrutinised u/s 143(2). AO noted that Assessee sold 1,31,000 shares of Kailash Auto Finance Ltd. (received pursuant to amalgamation ...