1961 (3) TMI 4 - SUPREME COURT

Whether there was evidence on which the Tribunal could have come to the conclusion that the sum of ₹ 75,820 was the assessee's income from business ?

Held that:- The High Court answered the question correctly. No doubt, this was only a single venture ; but even a single venture may be regarded as in the nature of trade or business. When a person acquires land with a view to selling it later after developing it, he is carrying on an activity resulting in profit, and the activity can only be described as a business venture. Where the person goes further and divides the land into plots, develops the area to make it more attractive and sells the land not as a single unit and as he bought it but in parcels, he is dealing with land as his stock-in-trade ; he is carrying on business and making a profit. This is exactly what had happened in the assessee's case. The answer given by the High Court was thus correct. Appeal dismissed.