Forfeiture of share application money being capital receipt is not taxable

ACIT Vs V C Solutions Pvt. Ltd. (ITAT Delhi)

ITAT Delhi held that forfeiture of share application money being forfeiture of a kind of deposits cannot be treated as revenue receipt. The same is capital in nature and hence not taxable.

Facts- Vide the present appeal, revenue has mainly contested that the ld. CIT(A) has erred in deleting the addition of Rs.26,13,97,349/- made on account of write off of share application money amounting to Rs.26,13,97,349/- ignoring the facts

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