DY. CIT-1(1)(1), MUMBAI VS M/S ALCON BIOSCIENCES P LTD.
(I.T.A NO.1946/MUM/2016)
28-02-2018

S. 68 Bogus share capital: The fact that a pvt. ltd co issued shares at an exorbitant premium is irrelevant if the assessee has proved the genuineness of the transaction. If the assessee has furnished necessary evidence to prove the identity of the share applicants and their PAN details, the department is free to proceed to reopen the individual assessments of the share applicants but it cannot be regarded as undisclosed income of the assessee.