EMSON TOOLS MFG CORP LTD,LUDHIANA vs. DCIT, LUDHIANA
In the result, the appeal of the assessee is allowed
ITA 845/CHANDI/2016[2009-10]Status: DisposedITAT Chandigarh27 Apr 2018AY 2009-10
Bench: Shri Sanjay Garg & Ms. Annapurna Guptaemson Tools Mfg. Corpn. Ltd., Vs. The D.C.I.T.,(Cc-I), D-2, Focal Point, Ludhiana. Ludhiana. Pan: Aaace3698M (Appellant) (Respondent)
For Appellant: Shri Sarabjit GargFor Respondent: Smt.Chanderkanta, Addl.CIT
Section 132Section 142Section 143(3)Section 147Section 148Section 68
1O
2008-09
Share application money
0
1900000
Paid up share capital
16872300
16559300
Total income
14972970
14639870
Prima facie, the premium of Rs. 490 per share seems quite unreasonable and needs to be investigated. Based on the returns, the growth of the company does not justify such high premium.
The Hon'ble Courts have frowned upon such modus operandi
