Section 10(38) of Income Tax Act, 1961— In the instant case, AO assessed the entire sale value of shares at Rs. 10,74,325/- U/s.68 and refused the exemption claimed U/s.10(38). Aggrieved, the assessee filed an appeal before the CIT(A). The ld.CIT(A) dismissed the appeal. Aggrieved against that order, the assessee filed this appeal.

the assessee has challenged the jurisdiction of the Assessing Officer to reopen the assessment U/s.147 without tangible material and the action of the ld.CIT(A) in confirming the addition made by the Ld. Assessing Officer in treating the purchase and sale of shares by the assessee, as penny stock transactions.

Held that—Since, the assessee has taken a plea that the reasons recorded for reopening is not given to the assessee, we restore the matter to the Assessing Officer to intimate the reasons for reopening the assessment.[SMT. ANJU PRAVEEN KUMAR VERSUS THE INCOME TAX OFFICER, NON-CORPORATE WARD 9 (1) , CHENNAI.] [2019] 20 ITCD Online (3) [ITAT CHENNAI]