ITO, NEW DELHI vs. SH. UMA SHANKAR KHANNA, NEW DELHI

The grounds of appeal of the Revenue are as under:-

“1. The ld.CIT(A) has grossly erred in deleting the addition of Rs.16,10,220/- without any basis and evidence.

Learned DR has relied on the order of the Assessing Officer. He referred to relevant portion of the assessment order in support of the 2 ITA-3854/Del/2012 case of the Revenue. Learned counsel for the assessee has relied on the order of the learned CIT(A).

We have heard the rival submissions and have perused the order of the Assessing Officer and the learned CIT(A). We find that the learned CIT(A) has given a finding that the assessee has done the share trading transactions through its brokers viz., M/s Kotak Securities and M/s Globle Capital Market in the share market in the shares of the reputed companies/stocks and, in the process, had suffered huge losses and, therefore, the Assessing Officer was not justified in disallowing the claim of the assessee without any valid reasons. We find that the Assessing Officer has not given any cogent and valid reason while making the disallowance. In the absence of any material to justify the order of the Assessing Officer in making the disallowance of the loss incurred in share trading by the assessee, we confirm the order of learned CIT(A) and, accordingly, the grounds of appeal