INCOME TAX24 Sept 2026
Transaction records alone can’t prove genuine share gains: Why ITAT upheld ₹14.85 lakh tax addition | Mint
Ahmedabad's Income Tax Appellate Tribunal upheld a ₹14.85 lakh addition as unexplained money under section 69A in a Kushal Tradelink share-trading case. Contract notes, broker statements, demat and bank records alone did not convince it, since the department had search material pointing to alleged accommodation entries. So if you claim share gains, keep full paperwork and be ready to explain the trade's real commercial purpose.
Key Statutory Highlights
- The Ahmedabad ITAT upheld a ₹14.85 lakh addition as unexplained money under section 69A in the case of Manishkumar Ramlakhan Agrawal for assessment year 2018-19.
- The taxpayer had reported long-term capital gains of ₹7.86 lakh and short-term capital gains of about ₹6.02 lakh from Kushal Tradelink shares, supported by contract notes, broker statements, demat records and bank statements.
- The tribunal sent the taxpayer's separate ₹40.74 lakh long-term capital loss claim back to the Commissioner of Income Tax (Appeals) for fresh adjudication.
Actionable Advice for Taxpayers / Founders:For share trades, keep contract notes, broker statements, demat and bank records ready, and be prepared to explain the commercial logic behind each trade if the tax department questions the gains.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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