Penny Stock Allegation Rejected Due to Lack of Evidence Against Share Transactions

ITO Vs Mahaveer Sukhanraj Kawar (ITAT Mumbai) The case involves three appeals—one filed by the Revenue and two by the assessee—arising from separate orders of the first appellate authority for Assessment Years (AY) 2014–15 and 2015–16. Since the issues involved were substantially similar, the appeals were heard together and disposed of through a common order. The central issue relates to the denial of exemption under Section 10(38) of the Income Tax Act, 1961, claimed by the assessee on Long Term Capital Gains (LTCG) arising from the sale of shares. An ancillary issue concerns the addi...