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2022 (5) TMI 1088 - AT - Income TaxAddition u/s 68 - Bogus share transactions - accommodation entries receipt - HELD THAT:- We note that the assessee has sold 50800 shares during the year to M/s. Balaji Finance at Rs.250/- per share which fetched Rs.1,27,00,000/-. We note that assessee was holding these shares as stock in trade as apparent from the tally of investments as on 31.03.2009 which showed details of opening stock of shares , purchases , sales and the closing stock in trade held by the assessee. We note that all these shares in the preceding as well as in the current year were purchased from various companies at Rs. 250/- per share and were sold at the same price. Therefore, we are not in agreement with the theory coined and adopted by the AO and its confirmation by the Ld. CIT(A) that these are accommodation entries as the assessee has purchased the shares on various dates and thereafter sold the shares to M/s. Balaji Finance. After perusing the details as placed before us we are of the view that these are not the accommodation entries but shares were sold at the same price at which these were purchased and thereby no pecuniary gain has accrued to the assessee. Under these circumstances, we are inclined to set aside the order of the Ld. CIT(A) and direct the AO to delete the addition - Decided in favour of assessee.
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