TMI Blog2010 (1) TMI 1171X X X X Extracts X X X X X X X X Extracts X X X X ..... <![endif]--><!--[if gte mso 10]> /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-parent:""; mso-padding-alt:0cm 5.4pt 0cm 5.4pt; mso-para-margin-top:0cm; mso-para-margin-right:0cm; mso-para-margin-bottom:10.0pt; mso-para-margin-left:0cm; line-height:115%; mso-pagination: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on the information received from DDIT about the bogus nature of transactions in shares made through M/s Sunil Shares and Stocks, the genuineness of the assessee s claim for sale of shares of M/s Rashel Agrotech Ltd was examined by the Assessing Officer. During the course of the said examination, he recorded the statements of the concerned persons including that of Shri Satish Mandowara Prop of M/s Rushabh Investments. He also made enquires with M/s Sunil Shares and Stock Pvt Ltd and M/s Rashel Agrotech Ltd. After confronting the results of the said examination and enquires made by him to the assessee and after considering the submissions made on behalf of the assessee in this regard, the Assessing Officer held that the transactions involvin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... el Agrotech Ltd as unexplained cash credit in the identical facts and circumstances have been deleted by the Tribunal for the following reasons given in paragraph no 9 and 10 of its order : 9. The evidence filed by both the assessee in our view clearly establishes that the assessee purchased and sold shares after holding them for a period of more than 12 months; and therefore, the gain on sale of shares had to be considered as long term capital gain. There is no reason as to why the above transaction should be considered as bogus. The Assessing Officer in making the aforesaid addition has relied on the investigation carried out by the DDIT (Inv.). The Assessing Officer did not confront the material that was gathered in course of inquiri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2669/Mum/06, she owned 35,000 shares and only 26,000 shares were sold through Sunil Shares Stock Pvt Ltd, but the Assessing Officer has treated entire 35,000 shares as bogus. Thus, there has been lack of application of mind on the part of the Assessing Officer. Besides the above, we notice in both the cases, company has duly recorded the transfer of shares in the name of the assessee. Ownership of shares was also recorded in the form of de-mat account. All these evidences show that there cannot be any doubt or dispute regarding ownership of the shares as that of the assessees. In the facts and circumstances of the case, we are of the view that capital gain as declared by the assessee has to be accepted and the addition made by the Assessi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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