ITAT Mumbai Voids Reassessment in Penny Stock LTCG Case

Sonal Snehal Shah Vs ITO (ITAT Mumbai) Income Tax Appellate Tribunal (ITAT), Mumbai Bench, recently ruled in favour of assessee Sonal Snehal Shah, quashing reassessment proceedings initiated against her for the Assessment Year 2012-13. The appeal challenged an order by the National Faceless Appeal Centre (NFAC), which had upheld the Assessing Officer’s (AO) reassessment order passed under Section 143(3) read with Section 147 of the Income Tax Act. The AO had made additions totalling over Rs. 4 crore, treating Long Term Capital Gains (LTCG) from the sale of shares of Banas Finance Ltd. as...