Smt. Poonam Gupta, Bangalore V. Deputy Commissioner Of Income Tax, Circle- 5(2)(1), Bangalore

ITA 627/BANG/2020

• Counselvise Citation: [2021] 108 COUNSELVISE.COM (IT) 0440 (ITAT-BANGALORE)
• Duration Of Justice: 1 year(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-07-2021
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2015-2016
• Appeal Filed On: 03-07-2020
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: R. PREMI
• Section: 68; 20

Judgement Text

ITA NO.627/BANG/2020 SMT. POONAM GUPTA, BANGALORE IN THE INCOME TAX APPELLATE TRIBUNAL CBENCH: BANGALORE BEFORE SHRI N.V. VASUDEVAN, VICE PRESIDENT AND SHRI B.R. BASKARAN, ACCOUNTANT MEMBER ITA NO.627/BANG/2020 ASSESSMENT YEAR: 2015-16 SMT. POONAM GUPTA NO.4, 404, PRESTIGE EXOTICA TULIP BLOCK CUNNINGHAM CRESCENT ROAD BANGALORE 560 001 PAN NO :ABRPG2342K VS. DEPUTY COMMISSIONER OF INCOME-TAX CIRCLE 5(2)(1) BANGALORE APPELLANT RESPONDENT APPELLANT BY : N O N E RESPONDENT BY : SMT. R. PREMI, D.R. DATE OF HEARING : 20.07.2021 DATE OF PRONOUNCEMENT : 20.07.2021 O R D E R PER B.R. BASKARAN, ACCOUNTANT MEMBER: THE ASSESSEE HAS FILED THIS APPEAL CHALLENGING THE ORDER DATED 30.8.2018 PASSED BY LD. CIT(A)-5, BENGALURU AND IT RELATES TO THE ASSESSMENT YEAR 2015-16. THE ASSESSEE IS AGGRIEVED BY THE DECISION OF LD. CIT(A) IN CONFIRMING ADDITION OF RS .62.09 LAKHS BEING SALE PROCEEDS OF SALE OF SHARES U/S 68 OF THE INCOM E-TAX ACT,1961 ['THE ACT' FOR SHORT]. 2. NONE APPEARED ON BEHALF OF THE ASSESSEE, EVEN TH OUGH THE NOTICE OF HEARING SENT BY REGISTERED POST WAS DULY SERVED UPON THE ASSESSEE. HENCE, WE PROCEED TO DISPOSE OF THE APPE AL EX-PARTE, WITHOUT THE PRESENCE OF THE ASSESSEE. ITA NO.627/BANG/2020 SMT. POONAM GUPTA, BANGALORE PAGE 2 OF 3 3. THE FACTS RELATING TO THE ISSUE ARE STATED IN BR IEF. THE ASSESSEE HAD SOLD SHARES OF M/S. JACKSON INVESTMENT LTD. AND DECLARED LONG TERM CAPITAL GAIN OF RS.61,73,539/-. THE ASSESSEE CLAIMED THE SAME AS EXEMPT U/S 10(38) OF THE ACT. THE A.O. NOTICED THAT M/S. JACKSON INVESTMENT LTD. WAS FOUND TO BE O NE OF THE SCRIPS WHOSE TRADING WAS SUSPENDED BY BOMBAY STOCK EXCHANGE ON THE DIRECTION OF SEBI. THE ASSESSEE HAD PURCHASED 20000 SHARES @ RS.1/- PER SHARE IN OCTOBER, 2011 AND HAS SOLD THEM AT RS.310/RS.311 IN JULY, 2014. SINCE THERE WAS HUGE JUMP IN THE SALE PRICE OF THE SCRIP AND SINCE IT WAS FORMING PA RT OF SCRIPS WHOSE TRADING WAS SUSPENDED, THE A.O. TOOK THE VIEW THAT CAPITAL GAIN DECLARED BY THE ASSESSEE IS A MAKE-BELIEVE TRANSACT ION. ACCORDINGLY, HE ASSESSED THE ENTIRE SALE PROCEEDS O F RS.62,09,600/- AS INCOME OF THE ASSESSEE. THE LD. CIT(A) ALSO CON FIRMED THE SAME AND HENCE, THE ASSESSEE HAS FILED THIS APPEAL BEFOR E US. 4. AS STATED EARLIER, NONE APPEARED ON BEHALF OF TH E ASSESSEE. WE HEARD LD. D.R. WHO SUPPORTED THE ORDERS PASSED B Y THE TAX AUTHORITIES. WE NOTICE THAT THE ASSESSEE HAS NOT F ILED ANY EVIDENCE/MATERIAL TO CONTROVERT THE FINDINGS GIVEN BY LD. CIT(A). UNDER THESE SET OF FACTS, WE HAVE NO OTHER OPTION B UT TO CONFIRM THE ORDER PASSED BY LD. CIT(A). 5. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 20 TH JUL, 2021. SD/- (N.V. VASUDEVAN) VICE PRESIDENT SD/- (B.R. BASKARAN) ACCOUNTANT MEMBER BANGALORE, DATED 20 TH JUL, 2021. VG/SPS ITA NO.627/BANG/2020 SMT. POONAM GUPTA, BANGALORE PAGE 3 OF 3 COPY TO: 1. THE APPLICANT 2. THE RESPONDENT 3. THE CIT 4. THE CIT(A) 5. THE DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER ASST. REGISTRAR, ITAT, BANGALORE.