ITAT Quashes Reassessment Based on ‘Borrowed Satisfaction’, Grants Relief in Rs 1.59 Crore Penny Stock Case:

ITAT held that reassessment based on general information without independent verification is invalid and deleted all additions in a penny stock case due to lack of evidence.

Reopening Without Independent Inquiry Invalid: ITAT

Saloni Kumari

Apr 3, 2026

Last update on Jul 28, 2026

Premium

ITAT Quashes Reassessment Based on ‘Borrowed Satisfaction’, Grants Relief in Rs 1.59 Crore Penny Stock Case

ITAT held that reassessment based on general information without independent verification is invalid and deleted all additions in a penny stock case due to lack of evidence.

Also Read

ITAT Sets Aside Ex-Parte Income Tax Assessment for Breach of Natural Justice ITAT Rules Late Filing of Form 67 Cannot Defeat Foreign Tax Credit Claim Under Section 90 Income Tax Dept Releases ITR-6 Excel Utility for AY 2026-27 on E-Filing Portal; Check Step-by-Step Download Guide ITAT Says Appeal Cannot Be Dismissed Without Examining Merits, Orders Fresh Decision

About Author

Saloni Kumari

Content Writer

Saloni is a Content Writer with 2+ years of experience at studycafe.in. She writes legal, taxation, and finance related content including GST, Income Tax etc. Skilled in translating complex judicial pronouncements and regulatory developments into clear, and reader-friendly articles. Experienced in covering judgements of ITAT, High Court, GSTAT, and news related to Income Tax, GST, and corporate law. She can be reached at [email protected].