Amount received pursuant to non-existing agreement is Deemed dividend U/s. 2(22)(e)

Kapil N. Shah Vs. ITO (ITAT Mumbai) ITAT hels that impugned ‘agreement to sell’ projected by the assessee to justify his claim that the amount of Rs. 17,50,000 (supra) was received by him from the company in lieu of a transaction of an anticipated sale of land by him to the company, which however could not fructify on account of compulsory acquisition of the land by the government is merely an arrangement tailored by the assessee with the sole intent to wriggle out of the ramifications of having received the aforesaid amount from the company, which as per law was liable to be assessed as ...