MP HC Dismisses IT Dept’s Appeal on Bogus LTCG  on penny stock script

Income Tax Department Vs Gopal Tayal (Madhya Pradesh High Court) In a significant ruling, the Madhya Pradesh High Court dismissed the appeal filed by the Income Tax Department against Gopal Tayal. The case revolved around the alleged bogus Long Term Capital Gains (LTCG) claim linked to a penny stock company, M/s Life Line Drugs & Pharma Ltd. The appeal under scrutiny was filed by the Income Tax Department under Section 260A of the Income Tax Act, 1961. The department contested the Income Tax Appellate Tribunal (ITAT) Indore Bench’s decision to delete an addition of Rs. 17,78,822 made...