Income from Penny Stock Transaction, Paid for Purchase of Shares could not be Deducted while computing Undisclosed Cash Income from Transaction in Penny Stock: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT),Mumbai bench held that income from penny stock transactions, paid for purchase of shares could not be deducted while computing undisclosed cash income from transactions in penny stock. The assessee,HiralaxmiIshwarlal Mehta disclosed Rs. 16,20,156/- long term capital gain on penny stock transaction under Income Declaration Scheme. The Assessing Officer (AO)…