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2024 (3) TMI 714 - ITAT KOLKATAValidity of reopening of the case u/s. 147- addition of unexplained cash credit u/s. 68 - allegation of bogus share transaction - HELD THAT:- Admittedly, it is a fact on record that the transaction undertaken by the assessee in the year under appeal before us is in respect of sale of shares held as investment which had been duly reported in the audited financial statements giving their opening balances from the preceding years. The reasons recorded by the assessee for reopening the case do not in any way point out towards this nature of transaction. They only suggest that assessee had received the amounts from the said company which has been alleged to be fictitious shell company. We have also gone through the documents placed in the paper book which evidently demonstrates that the assessee has sold its shares held as investment and the amount has been received through proper banking channel from the company against the said sale of shares. We have also taken note of the basis of addition which has been noted as amount received towards issue of share capital and share premium by the assessee to the respective company from whom the amount is received as not a correct fact. Thus we hold that the reassessment proceeding initiated u/s. 147 are not in accordance with law - on the merits of the case, assessee has evidently demonstrated the nature and source of the amount received in its bank account which is against the investment held by it in the Balance sheet. Assessee appeal allowed.
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