#Section 10(38)

ITAT Delhi ruled that Long Term Capital Gains (LTCG) exemption under Section 10(38) cannot be denied merely on suspicion of penny stock transactions if the assessee provides documentary evidence. The tribunal emphasized that the Revenue must disprove genuineness with concrete proof, not assumptions, impacting tax assessments for high-value share transactions.

ITAT Delhi rules that Long Term Capital Gains exemption under Section 10(38) cannot be denied without concrete evidence linking the assessee to bogus transactions. The tribunal set aside additions made solely on departmental investigations, reinforcing the need for direct proof in tax disputes.