DIVYABEN PRAFULCHANDRA PARMAR,SURAT vs. INCOME TAX OFFICER, WARD 1(3)(1), SURAT

In the result, appeal filed by the assessee is allowed

Bench: Shri Pawan Singh, Jm & Dr. A. L. Saini, Am आयकर अपील सं./Ita No.73/Srt/2023 (Assessment Year: 2014-15) (Physical Hearing) Divyaben Prafulchand Parmar, Vs. The Ito, Ward-1(3)(1), 1-2, Harikrishna Niwas, B/H Braham Surat. Kumari Ashram, Bhatar Road, Surat – 395017. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Acbpp9559Q (Appellant) (Respondent)

bogus or investment made in penny stock. The shares were purchased in order to invest and not for the purpose

DHAVAL INDRAVADAN GANDHI,SURAT vs. ITO, WARD 2, BARDOLI

In the result, the appeal of the assessee is allowed for In the result, the appeal of the assessee is allowed for In the result, the appeal of the assessee is allowed for statistical purposes

Bench: Shri Sandeep Gosain () & Shri Om Prakash Kant () Assessment Year: 2012-2013 Shri Dhaval Indravadan Gandhi, Ito Ward-2, At & Post Areth, Tal Mandvi, Aayakar Bhavan, Janta Nagar Surat-394160. Vs. Society, Bardoli-394601. Pan No. Ajjpg 4246 J Appellant Respondent

bogus LTCG were found and seized. On perusal of incriminating documents, it incriminating documents, it was found that the Assessee has was found that the Assessee has entered into transactions in penny stock namely; Dhvanil entered into transactions in penny stock namely; Dhvanil entered into transactions in penny stock namely; Dhvanil Chemicals Limited and has purchased

KAMLESH KUMAR GADIYA,SURAT vs. INCOME TAX OFFICER, WARD-1(2)(2), SURAT, SURAT

In the result, ground No.1 and 2 raised by the assessee is allowed

Bench: Dr. B.R.R. Kumar, Vice-Ms. Suchitra Kamble

purchase cost of Rs.2,160/-. As per the details available on record, the Assessing Officer noticed that the said scrip was named in Kolkata Investigation Report titled "Project Bogus LTCG/STCL through BSE Listed Penny Stocks

ACIT, CIR-1(3), SURAT vs. SHRI RAJESHKUMAR ARJANBHAI VEKARIA, SURAT

In the result, the grounds of appeal raised by the revenue are dismissed

Bench: Shri Pawan Singhआ.अ.सं./Ita No.339/Srt/2022 (Ay 2014-15) (Hearing In Physical Court) Assistant Commissioner Of Shri Rajeshkumar Income Tax, Circle-1(3), Arjanbhai Vekaria, Vs Surat, Room No.301, 503, Trade Centre, 3Rd Floor, Anavil Business Ring Road, Centre, Hajira Road, Adajan, Surat-395007 Pan No: Acopv 1228 P Surat-395009 अपीलाथ"/Appellant ""थ" /Respondent

penny stock but neither the name of broker, who have done such transaction nor the name of companies which are involved such activities are mentioned in the assessment order. 11. I find merits in the submissions of the ld AR for the assessee that statement of assessee was recorded in the office Assessing Officer and no adverse was extracted

INCOME TAX OFFICER, AAYAKAR BHAVAN, MAJURA GATE vs. SHRI GOPALBHAI T PATEL(HUF), SURAT

In the result, the grounds of appeal raised by the revenue are dismissed

Bench: Shri Pawan Singhआ.अ.सं./Ita No.498/Srt/2023 (Ay 2011-12) (Hearing In Physical Court) Income Tax Officer, Ward Shri Gopalbhai T Patel (Huf) No.2(2)(5) Surat, 2, Vaibhav Bungalow, Vs Room No. 613, Near Radiant High School, Aaykar Bhavan, Surat Gymkhana Road, Surat- Majura Gate, 395007 Surat-395001 Pan Aachg 7284 E अपीलाथ"/Appellant ""थ" /Respondent

penny stock and held that entities involved in the transactions were either bogus or to devoid of any financial capacity to make investment. The Assessing Officer treated the credit of Rs.7,15,679/- as unexplained capital in the assessment order dated 06.12.2018 passed under section 143(3) of the Act. 5. Aggrieved by the addition made in the assessment order

ARUN KUMAR GUPTA, DCIT, CIRCLE-1(3), SURAT, ADAJAN vs. CHUNIBHAI HARIBHAI GAJERA, ADARSH NAGAR SOCIETY

In the result, the appeal of the revenue is dismissed

Bench: Shri Dinesh Mohan Sinha & Shri Bijayananda Prusethआयकर अपील सं./Ita Nos.778 & 779/Srt/2023 Assessment Years: (2013-14 & 2014-15) (Physical Hearing) Dcit, Vs. Chunibhai Haribhai Gajera, Circle - 1(3), 67, Adarsh Nagar Society, Athwalines, Surat Surat - 395 001 "थायीलेखासं./जीआइआरसं./Pan/Gir No: Aawpg3525A (अपीलाथ"/Appellant) (""थ" /Respondent) Appellant By Shri Mukesh Jain, Cit-Dr Respondent By Shri Rasesh Shah, Ca Date Of Hearing 03/09/2025 Date Of Pronouncement 17/11/2025

bogus capital gains that too without any evidences whatsoever. 9.2 It is also pertinent to note that the assessee and / or the stock broker M/s P Didwania & Co and Toshith Securities P Ltd., both registered share and stock brokers with Calcutta Stock Exchange had confirmed the transaction and have issued legally valid contract notes under the Law and such contract

ARUN KUMAR GUPTA, DCIT, CIRCLE-1(3), SURAT, ADAJAN vs. CHUNIBHAI HARIBHAI GAJERA, ADARSH NAGAR SOCIETY

In the result, the appeal of the revenue is dismissed

Bench: Shri Dinesh Mohan Sinha & Shri Bijayananda Prusethआयकर अपील सं./Ita Nos.778 & 779/Srt/2023 Assessment Years: (2013-14 & 2014-15) (Physical Hearing) Dcit, Vs. Chunibhai Haribhai Gajera, Circle - 1(3), 67, Adarsh Nagar Society, Athwalines, Surat Surat - 395 001 "थायीलेखासं./जीआइआरसं./Pan/Gir No: Aawpg3525A (अपीलाथ"/Appellant) (""थ" /Respondent) Appellant By Shri Mukesh Jain, Cit-Dr Respondent By Shri Rasesh Shah, Ca Date Of Hearing 03/09/2025 Date Of Pronouncement 17/11/2025

bogus capital gains that too without any evidences whatsoever. 9.2 It is also pertinent to note that the assessee and / or the stock broker M/s P Didwania & Co and Toshith Securities P Ltd., both registered share and stock brokers with Calcutta Stock Exchange had confirmed the transaction and have issued legally valid contract notes under the Law and such contract

RAJESHBHAI D. DUNGARANI (HUF),SURAT vs. INCOME TAX OFFICER, WARD -3(2)(3), SURAT

In the result, the substantial ground of appeal as framed by me is allowed

Bench: Shri Pawan Singh(Virtual Hearing) Rajeshbhai D Dungarani (Huf), I.T.O., 15-A, Sundaram Park Society, Ward-3(2)(3), Vs. Dabholi Road, Surat-395004 Surat. (Gujarat) Pan No. Aakhr 4970 E Appellant/ Assessee Respondent/ Revenue

bogus companies are indulging in providing entries of penny stock and that the assessee is beneficiary of such penny stock. The assessee has purchased

GAUTAM PRAVINCHANDRA SHETH HUF,SURAT vs. PCIT-1, SURAT

In the result, the appeal of the assessee is dismissed

Bench: Ms. Suchitra Raghunath Kamble & Shri Bijayananda Prusethआयकर अपील सं./Ita No.343 & 344/Srt/2025 Assessment Year: (2018-19) Kanchanben Pravinbhai Sheth Vs. Pcit - 1, Surat 3/A, 1 St Floor, Royal Vila Apts., Surat Ghoddod Road, Surat (Jao: Ito, Ward – 1(3)(1), Surat "थायीलेखासं./जीआइआरसं./Pan/Gir No: Adops2971D (Appellant) (Respondent) Gautam Pravinbhai Sheth (Huf) Vs. Pcit - 1, 3/A, 1 St Floor, Royal Vila Apts., Surat Ghoddod Road, Surat (Jao: Ito, Ward – 1(3)(1), Surat "थायीलेखासं./जीआइआरसं./Pan/Gir No: Aafhg1435A (Appellant) (Respondent) Appellant By Shri Sapnesh Sheth, Advocate Respondent By Ms. Namita Patel, Sr. Dr Date Of Hearing 25/08/2025 Date Of Pronouncement 18/11/2025

bogus as company "C" whose shares were allegedly purchased was a penny stock. Useful reference may also be made to the decision

SMT. KANCHANBEN PRAVINBHAI SHETH,SURAT vs. PCIT-1, SURAT

In the result, the appeal of the assessee is dismissed

Bench: Ms. Suchitra Raghunath Kamble & Shri Bijayananda Prusethआयकर अपील सं./Ita No.343 & 344/Srt/2025 Assessment Year: (2018-19) Kanchanben Pravinbhai Sheth Vs. Pcit - 1, Surat 3/A, 1 St Floor, Royal Vila Apts., Surat Ghoddod Road, Surat (Jao: Ito, Ward – 1(3)(1), Surat "थायीलेखासं./जीआइआरसं./Pan/Gir No: Adops2971D (Appellant) (Respondent) Gautam Pravinbhai Sheth (Huf) Vs. Pcit - 1, 3/A, 1 St Floor, Royal Vila Apts., Surat Ghoddod Road, Surat (Jao: Ito, Ward – 1(3)(1), Surat "थायीलेखासं./जीआइआरसं./Pan/Gir No: Aafhg1435A (Appellant) (Respondent) Appellant By Shri Sapnesh Sheth, Advocate Respondent By Ms. Namita Patel, Sr. Dr Date Of Hearing 25/08/2025 Date Of Pronouncement 18/11/2025

bogus as company "C" whose shares were allegedly purchased was a penny stock. Useful reference may also be made to the decision

INCOME TAX OFFICER, WARD-1(2)(1), SURAT, SURAT vs. DEEPESH VISHNU AGARWAL, SURAT

In the result, appeal of revenue is dismissed

Bench: Shri Dinesh Mohan Sinha & Shri Bijayananda Prusethआयकर अपील सं./Ita No.168/Srt/2025 Assessment Years: 2019-20 (Hybrid Hearing) Depesh Vishnu Agarwal Income Tax Officer, Ward- बनाम/ A-301, Surya Plaza, U.M. 1(2),(1), Surat (Old Ward- Vs. Road, Surat-395 007 1(2)(6), Surat) Aaykar Bhavan, Majura Gate, Surat- 395 001 "थायीलेखासं./जीआइआरसं./Pan/Gir No: Aispa2948 P (अपीलाथ"/Appellant) (""थ" /Respondent) आयकर अपील सं./Ita No.122/Srt/2025 Assessment Year: 2019-20 Income Tax Officer, Ward- Depesh Vishnu Agarwal बनाम/ 1(2),(1), Surat (Old Ward- A-301, Surya Plaza, U.M. Vs. 1(2)(6), Surat) Aaykar Road, Surat-395 007 Bhavan, Majura Gate, Surat- 395 001 "थायीलेखासं./जीआइआरसं./Pan/Gir No: Aispa 2948 P (अपीलाथ"/Appellant) (""थ" /Respondent) िनधा"रती की ओर से /Assessee By Shri Manish Malpani, Ca राज" की ओर से /Revenue By Shri Ajay Uke, Sr-Dr सुनवाई की तारीख/Date Of Hearing 30/07/2025 उद्घोषणा की तारीख/Date Of Pronouncement 27/10/2025

penny stock of M/s Kushal Ltd. the assessee has paid equivalent amount of unaccounted cash. iii. On the facts and circumstances of the case and in law the Ld.CIT(A) has erred in deleting the addition made of commission of Rs.3,46,140/- u/s 69C of the Act purportedly incurred by the assessee toward payment to brokers who allegedly entered

DEEPESH VISHNU AGARWAL,SURAT vs. ITO, WARD 1(2)(1), SURAT

In the result, appeal of revenue is dismissed

Bench: Shri Dinesh Mohan Sinha & Shri Bijayananda Prusethआयकर अपील सं./Ita No.168/Srt/2025 Assessment Years: 2019-20 (Hybrid Hearing) Depesh Vishnu Agarwal Income Tax Officer, Ward- बनाम/ A-301, Surya Plaza, U.M. 1(2),(1), Surat (Old Ward- Vs. Road, Surat-395 007 1(2)(6), Surat) Aaykar Bhavan, Majura Gate, Surat- 395 001 "थायीलेखासं./जीआइआरसं./Pan/Gir No: Aispa2948 P (अपीलाथ"/Appellant) (""थ" /Respondent) आयकर अपील सं./Ita No.122/Srt/2025 Assessment Year: 2019-20 Income Tax Officer, Ward- Depesh Vishnu Agarwal बनाम/ 1(2),(1), Surat (Old Ward- A-301, Surya Plaza, U.M. Vs. 1(2)(6), Surat) Aaykar Road, Surat-395 007 Bhavan, Majura Gate, Surat- 395 001 "थायीलेखासं./जीआइआरसं./Pan/Gir No: Aispa 2948 P (अपीलाथ"/Appellant) (""थ" /Respondent) िनधा"रती की ओर से /Assessee By Shri Manish Malpani, Ca राज" की ओर से /Revenue By Shri Ajay Uke, Sr-Dr सुनवाई की तारीख/Date Of Hearing 30/07/2025 उद्घोषणा की तारीख/Date Of Pronouncement 27/10/2025

penny stock of M/s Kushal Ltd. the assessee has paid equivalent amount of unaccounted cash. iii. On the facts and circumstances of the case and in law the Ld.CIT(A) has erred in deleting the addition made of commission of Rs.3,46,140/- u/s 69C of the Act purportedly incurred by the assessee toward payment to brokers who allegedly entered

ITO, WARD-2(3)(2), SURAT, SURAT vs. KISHOR BHANUBHAI ASODARIA, SURAT

In the result, the appeal filed by the Revenue is hereby dismissed

Bench: Shri T.R. Senthil Kumar (Judicial Member), Shri Bijayananda Pruseth (Accountant Member)

penny stock used by brokers/entry operators, to provide accommodation entries so as to convert the unexplained cash into legitimate tax free income in the form of Long Term Capital Gain to the beneficiaries. The assessee said to have sold 72287 shares of JIIL during this year. Therefore, the assessment was reopened and denied the benefit of claim of exemption

RUCHIT DINESHBHAI DOSHI,SURAT vs. INCOME TAX OFFICER WARD - 2(2)(1), SURAT

In the result, grounds of appeal raised by the assessee are allowed

Bench: Shri Pawan Singh(Physical Hearing) Ruchit Dineshbhai Doshi, I.T.O., C-10, 5/6, Somakanji Estate-2, Opp- Ward-2(2)(1), Vs. Sanidev Mandir, Magdalla Bo, Surat. Surat-395007 (Gujarat) Pan No. Afxpd 4008 F Appellant/ Assessee Respondent/ Revenue

penny stock of scrip namely Dhvanil Chemicals Ltd. earlier known as Shreya Chemicals Ltd. During the assessment, the assessee was required to furnish the details of sale proceed of share scrip of Dhvanil Chemicals Ltd. The assessee contested the show cause notice and filed required details to substantiate the genuineness of his transaction in claiming that he has entered

NEELU MAHANSARIA,SURAT vs. INCOME TAX OFFICER, WARD - 1(3)(3), SURAT

In the result, the addition of undisclosed income under section 68 is deleted

Bench: Shri Pawan Singhआ.अ.सं./Ita No.197/Srt/2023 (Ay 2011-12) (Hearing In Physical Court) Neelu Mahansaria Income Tax Officer, 304, Green Park Apartment, Ward-1(3)(3), Surat Vs City Light Road, Nr. Corner Point Complex, Surat-395007 Pan No: Adbpm 2707 Q अपीलाथ"/Appellant ""थ" /Respondent

penny stocks. The Assessing Officer on the basis of report of Investigation Wing, Kolkata issued show cause notice as to why sale and purchase of shares of Mishka Finance & Trading Ltd. should not be treated as unexplained credit. The Assessing Officer also issued show cause notice as to why the commission should not be considered @ 2% of bogus

INCOME TAX OFFICER, WARD- 2(3)(1), SURAT vs. HITESH B PONKIA HUF, SURAT

In the result, the appeal of the revenue is dismissed

stock prices of the companies are manipulated to provide the\nbogus LTCG.\n(iv) On the facts and circumstances of the case and law, the Ld. CIT(A) has erred\nin allowing the claim ignoring the judicial pronouncement by the Hon'ble\nSupreme Court in the case of McDowell Vs CTO wherein it was held that\n\"Colourable devises cannot

DIMPAL RAJESHKUMAR PATEL,ANKLESHWAR vs. INCOME TAX OFFICER, WARD 2(1), BHARUCH

In the result, ground No1 of the appeal is allowed

Bench: SHRI PAWAN SINGH (Judicial Member)

penny stock companies, the share prices were artificially raised on the Stock Exchanges in order to book bogus claims of Long Term Capital Gains or loss (LTCG/LTCL). 2 Dimpal R Patel The assessee was one of the beneficiary of LTGC on sale of one of such companies, which were identified by the investigation wing. On the basis of such information

UMESH P. MAHANSARIA (HUF),SURAT vs. DY. COMMR. OF INCOME TAX, CIRCLE- 1(3), SURAT, SURAT

In the result, the addition of undisclosed income under section 68 is deleted

Bench: Shri Pawan Singh & Shri Bhagirath Mal Biyaniआयकर अपील सं./Ita No. 151/Srt/2024 (Ay 2015-16) (Hybrid Hearing) Umesh P. Mahansaria (Huf) Deputy Commissioner Of Income- C-501, The Legend, Vastu Gram, Tax, Circle-1(3), Surat, बनाम Vesu, Surat-395 007 Aaykar Bhavan, Anavil Building, Vs [Pan : Aaahu 6298 L] Adajan, Surat-395 009 अपीलाथ"/Appellant ""थ" /Respondent

purchases 1,000 shares @ Rs.35/- per share through Roongta Raising Stock Pvt. Ltd. The Assessing Officer further recorded that assessee has sold such shares through Edelweiss Financial Advisors Ltd., Surat at a huge margin within span of 18 months. The Assessing Officer recorded modus operandi of penny scrip by referring report of Investigation Wing Kolkata and the statement of entry