Commissioner Of Income-Tax vs Smt. Geeta Devi Purohit on 26 February, 2002
In our considered view keeping in view factual matrix of the case which is
different from the preceding assessment year 2006-07 as detailed above in
preceding para ( viz. the assessee has not only availed loan for making
application in IPO but has also made most of the investments in shares out of
borrowed funds, transactions are also on higher scales spread through out
the year and period of holding is very short), this issue needs to be set aside
and restored to file of the AO for de-novo determination of the issue on merits
in accordance with law after examining the entire spectrum of share
transactions and factual matrix of the case in details in accordance with
principles laid down by Hon'ble Bombay High Court in the case of CIT v.
Gopal Purohit (2011) 336 ITR 287(Bombay) wherein decision of the Tribunal
was upheld by Hon'ble Bombay High Court as under: