JASODADEVI RAJARAM JAJOO,SURAT vs. INCOME TAX OFFICER WD.-2(2)(2), SURAT

In the result, appeal filed by the assessee (in ITA No

Bench: Shri Pawan Singh, Jm & Dr. A. L. Saini, Am आयकरअपीलसं./Ita Nos.183 To 184/Srt/2021 ("नधा"रणवष" / Assessment Years: (2011-12) (Physical Court Hearing) Damodar Jajoo, Vs. The Ito, Ward-2(2)(1), 429-432, Golden Point, Nr. Bsnl Surat. Office, Falsawadi, Ring Road, Surat-395002, Gujarat. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aawpj4341H (Assessee) (Respondent) आयकरअपीलसं./Ita No.185/Srt/2021 ("नधा"रणवष" / Assessment Year: (2012-13) Jasodadevi Rajaram Jajoo, Vs. The Ito, Ward-2(2)(2), 429-432, Golden Point, Ring Surat. Road, Falsawadi, Begampura, Surat-395002, Gujarat. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aaqpj7257E (Assessee) (Respondent) Assessee By Ms Richa Tosniwal, Ca & Shri Harishankar Tosniwal, Ca Shri J. K. Chandnani, Sr. Dr Respondent By Date Of Hearing 21/11/2022 Date Of Pronouncement 09/12/2022

Penny stock companies. After getting such information, assessing officer has applied his mind and then framed the reasons for reopening the assessment, therefore it is not a borrowed satisfaction. The assessing officer has also mentioned in the reasons recorded the quantity of shares sold, name of the scrip, and amount received on sale of such shares etc. Thus, we note

DAMODAR JAJOO,SURAT vs. INCOME TAX OFFICER, WD.2(2)(1), SURAT

In the result, appeal filed by the assessee (in ITA No

Bench: Shri Pawan Singh, Jm & Dr. A. L. Saini, Am आयकरअपीलसं./Ita Nos.183 To 184/Srt/2021 ("नधा"रणवष" / Assessment Years: (2011-12) (Physical Court Hearing) Damodar Jajoo, Vs. The Ito, Ward-2(2)(1), 429-432, Golden Point, Nr. Bsnl Surat. Office, Falsawadi, Ring Road, Surat-395002, Gujarat. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aawpj4341H (Assessee) (Respondent) आयकरअपीलसं./Ita No.185/Srt/2021 ("नधा"रणवष" / Assessment Year: (2012-13) Jasodadevi Rajaram Jajoo, Vs. The Ito, Ward-2(2)(2), 429-432, Golden Point, Ring Surat. Road, Falsawadi, Begampura, Surat-395002, Gujarat. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aaqpj7257E (Assessee) (Respondent) Assessee By Ms Richa Tosniwal, Ca & Shri Harishankar Tosniwal, Ca Shri J. K. Chandnani, Sr. Dr Respondent By Date Of Hearing 21/11/2022 Date Of Pronouncement 09/12/2022

Penny stock companies. After getting such information, assessing officer has applied his mind and then framed the reasons for reopening the assessment, therefore it is not a borrowed satisfaction. The assessing officer has also mentioned in the reasons recorded the quantity of shares sold, name of the scrip, and amount received on sale of such shares etc. Thus, we note

SHRI NISHANT KANTILAL PATEL,BHARUCH vs. INCOME TAX OFFICER, WARD-2(2), BHARUCH

In the result, the appeals filed by the assessee (In ITA No

Bench: Shri Pawan Singh, Jm & Dr. A.L.Saini, Am आयकरअपीलसं./Ita Nos.05 & 06/Srt/2019 ("नधा"रणवष" / Assessment Year: (2013-14) (Virtual Court Hearing) Shri Nishantkantilal Patel, Vs. Income Tax Officer, 9, Uma Park Society, Near Uma Ward-2(2), Bharuch. Bhavan, Bharuch-393002. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Amepp2505R (Assessee) (Respondent) Smt Muktabennishantbhai Patel, Vs. Income Tax Officer, 9-10, Patel Kubj, Uma Park Society, B/H Ward-2(2), Bharuch. Uma Bhavan, Old Nh No.8, Gidc, Zadeshwar, Ankleshwar -393002. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Binpp5922N (Assessee) (Respondent) आयकरअपीलसं./Ita Nos.07 & 10/Srt/2019 ("नधा"रणवष" / Assessment Year: (2014-15)

penny stocks does not apply in the present case because no trail of movement of funds have been noticed or brought on record evidencing handing over of unaccounted funds to someone and rotation of the same to the assessee though cheques of electronic transfer from the broker. (vii) It is hereby stated through the authority of the assesses, that

SMT. MUKTABEN NISHANTBHAI PATEL,ANKLESHWAR vs. INCOME TAX OFFICER WARD -2(2), BHARUCH

In the result, the appeals filed by the assessee (In ITA No

Bench: Shri Pawan Singh, Jm & Dr. A.L.Saini, Am आयकरअपीलसं./Ita Nos.05 & 06/Srt/2019 ("नधा"रणवष" / Assessment Year: (2013-14) (Virtual Court Hearing) Shri Nishantkantilal Patel, Vs. Income Tax Officer, 9, Uma Park Society, Near Uma Ward-2(2), Bharuch. Bhavan, Bharuch-393002. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Amepp2505R (Assessee) (Respondent) Smt Muktabennishantbhai Patel, Vs. Income Tax Officer, 9-10, Patel Kubj, Uma Park Society, B/H Ward-2(2), Bharuch. Uma Bhavan, Old Nh No.8, Gidc, Zadeshwar, Ankleshwar -393002. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Binpp5922N (Assessee) (Respondent) आयकरअपीलसं./Ita Nos.07 & 10/Srt/2019 ("नधा"रणवष" / Assessment Year: (2014-15)

penny stocks does not apply in the present case because no trail of movement of funds have been noticed or brought on record evidencing handing over of unaccounted funds to someone and rotation of the same to the assessee though cheques of electronic transfer from the broker. (vii) It is hereby stated through the authority of the assesses, that

SHRI NISHANT KANTILAL PATEL,BHARUCH vs. INCOME TAX OFFICER, WARD-2(2), BHARUCH

In the result, the appeals filed by the assessee (In ITA No

Bench: Shri Pawan Singh, Jm & Dr. A.L.Saini, Am आयकरअपीलसं./Ita Nos.05 & 06/Srt/2019 ("नधा"रणवष" / Assessment Year: (2013-14) (Virtual Court Hearing) Shri Nishantkantilal Patel, Vs. Income Tax Officer, 9, Uma Park Society, Near Uma Ward-2(2), Bharuch. Bhavan, Bharuch-393002. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Amepp2505R (Assessee) (Respondent) Smt Muktabennishantbhai Patel, Vs. Income Tax Officer, 9-10, Patel Kubj, Uma Park Society, B/H Ward-2(2), Bharuch. Uma Bhavan, Old Nh No.8, Gidc, Zadeshwar, Ankleshwar -393002. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Binpp5922N (Assessee) (Respondent) आयकरअपीलसं./Ita Nos.07 & 10/Srt/2019 ("नधा"रणवष" / Assessment Year: (2014-15)

penny stocks does not apply in the present case because no trail of movement of funds have been noticed or brought on record evidencing handing over of unaccounted funds to someone and rotation of the same to the assessee though cheques of electronic transfer from the broker. (vii) It is hereby stated through the authority of the assesses, that

RAMBILASH RAJARAM JAJOO,SURAT vs. INCOME TAX OFFICER WARD-2(2)(4), SURAT

In the result, assessee's appeal is allowed

Penny stock companies. After getting such information,\nassessing officer has applied his mind and then framed the reasons for reopening the\nassessment, therefore it is not a borrowed satisfaction. The assessing officer has also\nmentioned in the reasons recorded the quantity of shares sold, name of the scrip, and\namount received on sale of such shares etc. Thus, we note

SUNITA JAJOO,SURAT vs. ITO WARD 2(2)(4), SURAT

In the result, assessee’s appeal is allowed

Bench: Shri Pawan Singh & Shri Bijayananda Prusethआयकर अपील सं./Ita No. 552/Srt/2024 (Ay 2011-12) (Physical Court Hearing) Rambilash Rajaram Jajoo Income Tax Officer, Ward- 429-432, Golden Point, Falsawadi, 2(2)(4), Aaykar Bhawan, Majura बनाम Ring Road, Surat City, Gate, Opp. New Civil Hospital, Vs Surat-395 002 Surat-395 001 [Pan : Aampj 0040 K] अपीलाथ"/Appellant ""थ" /Respondent

Penny stock companies. After getting such information, assessing officer has applied his mind and then framed the reasons for reopening the assessment, therefore it is not a borrowed satisfaction. The assessing officer has also mentioned in the reasons recorded the quantity of shares sold, name of the scrip, and amount received on sale of such shares etc. Thus, we note

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)

prices in nothing but a Penny stock. If the assessee would have indulged the sale of SAL shares as a Penny stock, then it would not have retained 27,45,430 shares which is more than 2/3rd of its holding of the SAL shares. Thus the findings of the Ld AO are found to be baseless with cogent materials

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

penny stocks. We also find that the Hon’ble jurisdictional High Court has decided similar matter in favour of the assessees in the following cases: (i) Mamta Rajivkumar Agrawal (supra), (ii) ITA Nos.778 & 779/SRT/2023/AYs 2013-14 & 2014-15 Chunibhai Haribhai Gajera Champalal Gopiram Agarwal (supra), (iii) Divyabenn Prafulchandra Parmar (supra), (iv) Muktaben Nishantbhai Patel (supra) and (v) PCIT vs. Parasben

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

penny stocks. We also find that the Hon’ble jurisdictional High Court has decided similar matter in favour of the assessees in the following cases: (i) Mamta Rajivkumar Agrawal (supra), (ii) ITA Nos.778 & 779/SRT/2023/AYs 2013-14 & 2014-15 Chunibhai Haribhai Gajera Champalal Gopiram Agarwal (supra), (iii) Divyabenn Prafulchandra Parmar (supra), (iv) Muktaben Nishantbhai Patel (supra) and (v) PCIT vs. Parasben

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

price pattern of share indicating heavy return which influence the assessee for making such investment and summary of financial performance on major data of these companies. The assessee invested huge fund of Rs. 1.00 Crore to earn good return, but the assessee suffered losses in short span of time, so he immediately sold the scrips of such shares. Entire transaction

ACIT, CC-3, SURAT vs. SHRI NARESH NEMCHAND SHAH, SURAT

In the result, appeal filed by the Revenue is dismissed

Bench: Shri Pawan Singh, Jm & Dr. A. L. Saini, Am आयकर अपील सं./Ita No.197/Srt/2020 ("नधा"रणवष" / Assessment Years: (2012-13) (Physical Court Hearing) The Acit, Central Cir.-3, Vs. Naresh Nemchand Shah, Surat. Abhishek House, Bh. Jeevan Bharti School, Kadampali Society, Nanpura, Surat "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Acrps 0182 J (Assessee)/(Revenue) (Respondent)/(Assessee)

prices and market capitals. These stocks are highly speculative and they are categorized as high risk stocks largely due to lack of liquidity. Furthermore, the shares of the penny stock are closely held as the general public is not interested in these stocks due to the poor financials of the listed companies. It is for such reasons the entry operators

RAMESHKUMAR KARSANBHAI PATEL,SURAT vs. ITO, WARD 2(3)(5), SURAT

Accordingly the estimated addition made of Rs.35,166/-[0.5% of 70,33,182/-] by the AC invoking provision of section 69C of the I.T Act stand deleted. Thus this ground is allowed

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

penny stock used for providing bogus LTCG entries and the price movement of the scrip was abnormal. He also argued that the assessee has failed to produce complete evidence of purchase and transfer

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

stock in which assessee traded was ‘Oasis Tradelink Ltd.’ and consequent to analysis of several incriminating documents, communication and digital data seized in the search operations, it was established by the Investigation Wing that the impugned scrip was penny in nature and same was being used for providing bogus long term capital gain to various beneficiaries. Ld. Sr. DR, therefore

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

stock in which assessee traded was ‘Oasis Tradelink Ltd.’ and consequent to analysis of several incriminating documents, communication and digital data seized in the search operations, it was established by the Investigation Wing that the impugned scrip was penny in nature and same was being used for providing bogus long term capital gain to various beneficiaries. Ld. Sr. DR, therefore

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 stock share transaction. 8. In short rejoinder, Ld. AR for the assessee submits that assessee has purchased shares of listed company and SEBI made full-fledged investigation vide order dated 05.10.2017 where clearly held that assessee and her share broker has no role in price manipulation. 7 Neelu Mahansaria Mere allegation of price increase cannot be a ground

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

Stock Pvt. Ltd.. The assessee kept share in Demat account for 14 months and payment for purchase were made through cheque. All necessary documents consisting contract notes in respect 4 Umesh P. Mahansaria (HUF) of purchase of share, letter from RTA transfer of shares in the name of assessee, issue of bonus shares, deposit of share into demat account