Section 68 not applies to Swapping of shares

ITO Vs Saffron Comtrade Pvt. Ltd. (ITAT Kolkata) The issue under consideration is that Whether the ld. CIT(A) was correct in deleting the addition made u/s 68? The company decided to raise its capital by issue of 15325 equity shares by issue of shares of Rs. 10/- each at a premium price of Rs. 1990/- each. The share subscribing company, namely, M/s Jyotika Commercial Pvt. Ltd, who agreed to subscribe 15325 shares of Rs. 10/- each at a premium of Rs. 1990/- each. As per terms of agreement the assessee company agreed to allot 15325 shares of Rs. 10/- with premium of Rs.1990/- each to Jyotika com...