ITAT Delhi allows LTCG Exemption Despite Penny Stock Concerns

Shoubit Goel (HUF) Vs ITO (ITAT Delhi) Income Tax Appellate Tribunal (ITAT), Delhi Bench, has ruled in favour of the assessee, Shoubit Goel (HUF), allowing a claim for Long Term Capital Gains (LTCG) exemption under Section 10(38) of the Income Tax Act, 1961. The dispute centred around the sale of 72,800 shares of M/s Unno Industries Ltd., which the Assessing Officer (AO) had treated as unexplained income under Section 68, suspecting it to be an accommodation entry arranged through penny stocks. The Commissioner of Income Tax (Appeals) [CIT(A)] had previously upheld the AO’s decision. The...