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2021 (11) TMI 221 - ITAT AHMEDABADBogus LTCG - Unexplained cash credit u/s 68 - Reliance on information unearthed from third party - HELD THAT:- We hold that in absence of any specific finding against the assessee in the investigation wing report, the assessee cannot be held to be guilty or linked to the wrong acts of the persons investigated as far as long term capital gain earned on sale of share of both companies is concern. Co-ordinate bench Mumbai Tribunal in case of DCIT vs. M/s Jiana Investments [2021 (3) TMI 50 - ITAT MUMBAI] CIT(A) deleted the addition by observing that information received from investigation only a general modus operandi employed by the various entry operators but no evidences available that the particular assessee was involved in such scam. Without bringing cogent material establishing the assessee earned or incurred bogus gain or losses the AO cannot made addition merely on the basis of suspicion or assumption. The view taken by the learned CIT was confirmed by the Hon’ble bench of Mumbai ITAT. It is pertinent to mentioned that the script involve in the above case is also in the present case. Thus we also find support and guidance from the finding given in aforesaid case. We hold that the capital gain earned by the assessee cannot held bogus merely on the basis of some report which was unearthed in case of third party/parties unless cogent material brought against particular assessee. - Decided in favour of assessee.
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