LTCG Claim Reopened Due to Preferential Allotment Concerns

DCIT Vs Santosh Vimlesh Mehta (ITAT Mumbai) Penny Stock LTCG Addition of ₹3.98 Crore Deleted — ITAT Upholds CIT(A); General Modus Operandi Not Enough Without Assessee-Specific Evidence The Mumbai Bench of the ITAT dismissed the Revenue’s appeal for AY 2012-13, thereby upholding deletion of ₹3.98 crore added under section 69A by treating long-term capital gains from sale of shares of Banas Finance Ltd. as bogus penny-stock transactions. The assessee had acquired shares through preferential allotment, funded via capital withdrawal from a partnership firm, held them for a substantial peri...