Case Law Details
Shri Suresh Kumar Agarwal Vs ACIT (ITAT Delhi)
ITAT deleted addition made u/s 68 for alleged bogus LTCG of Rs.56,43,084/- on merits holding that Ld AO failed to bring any cogent material in addition to report of Directorate of Investigation Kolkata about Jamakharchi /Penny stock companies and convert its reasons into a fact , thereby not proving its case on merits where burden was on revenue to prove its case . Thus appeal of assessee was allowed in granting LTCG exempted u/s 10(38).
FULL TEXT OF THE ITAT JUDGEMENT
01. ITA number 8703/Del/2019 is filed by Shri Sureskhumar Agarwal [ Assessee/ Appellant ] for assessment year 2011 – 12 against the order of the learned Commissioner Of Income Tax (Appeals) – 29, New Delhi [ the ld CIT (A) ] dated 4/9/2019 wherein the appeal filed by the assessee against the order of the learned Assistant Commissioner Of Income Tax, Central Circle – 25, New Delhi [ The ld AO ] passed on 13/12/2016 determining the total income of the assessee at Rs. 1,30,65,090/- against the total income as per return of income of ₹ 74,22,010/– was dismissed.
02. The grounds of appeal raised by the assessee are against the validity of reopening of assessment as well as on the merits of the case. As per ground number [1] of the appeal, assessee has challenged reopening of the assessment. As per ground number [2] assessee has challenged the addition of ₹ 56,43,084/– made by the learned assessing officer on account of the sale consideration on sale of equity shares under section 68 of The Income Tax Act. Therefore, though assessee has raised several grounds but they are merely challenging the reopening of the assessment and challenging the addition on the merits.
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