TMI Blog2006 (12) TMI 97X X X X Extracts X X X X X X X X Extracts X X X X ..... was correct in accepting the Commissioner of Income-tax (Appeals)' view in deleting the disallowances of share loss of Rs. 9,55,000 for the assessment year 1991-92, Rs. 1,57,000 for the assessment year 1993-94 and Rs. 2,18,700 for the assessment year 1994-95 on the ground that the transactions were done through brokers without considering the aspect of avoidance of tax payment by planning outside the frame work of law? 2. Whether, on the facts and in the circumstances of the case, the Tribunal was correct in holding that the investment in flat was made utilizing the fund arising from the sale of shares and realization of loans and advances ignoring the fact firstly that the assessee had to take loan for such investment and, secondly, tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of interest paid on loan for the assessment years 1992-93 to 1995-96 on the ground that the fund was utilised for non-business assets. Against both the decisions, the assessee preferred appeal before the Commissioner of Income-tax (Appeals), Guwahati. The Commissioner of Income-tax deleted the disallowance of loss on account of share transactions as well as the interest paid on loan secured for purchase of a flat in Bombay. On appeal, the learned Tribunal affirmed the decision of the Commissioner of Income-tax (Appeals). It is against these concurrent findings, the Revenue has preferred this appeal. Reappreciation of facts is not the usual course for a court of appeal exercising powers under section 260A of the Income-tax Act. The questio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... transactions duly supported by contract notes and bills are not a good piece of evidence. There is no controversy with regard to the proposition of law that trading results cannot be disturbed merely on surmises and conjectures. Relying upon the contract notes and the bills produced, the Commissioner of Income-tax (Appeals) reversed the finding of the Assessing Officer. With regard to disallowance of interest of Rs. 9,06,615, the Commissioner of Income-tax (Appeals) noticed that the purchase of flat by the assessee in the assessment year 1992-93 is not in dispute. The acquisition was duly verified with reference to the accounts as reflected in the balance-sheet. The Commissioner of Income-tax (Appeals) held that investments made in shares ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e have also taken into consideration the decisions in McDowell and Co. Ltd. v. CTO reported in [1985] 154 ITR 148 (SC), M. V. Valliappan v. ITO reported in [1988] 170 ITR 238 (Mad), Union of India v. Azadi Bachao Andoltm reported in [2003] 263 ITR 706 (SC), CIT v. George Williamson (Assam) Ltd. reported in [2004] 265 ITR 626 (Gauhati), CIT v. Korlay Trading Co. Ltd. reported in [1998] 232 ITR 820 (Cal), Amarchand Sobhachand v. CIT reported in [1971] 82 ITR 591 (SC) and CIT v. Carbo Industrial Holdings Ltd. reported in [2000] 244 ITR 422 (Cal) relied upon by learned counsel for both the parties. There is no dispute with the proposition of law. Tax planning to reduce the burden of tax not inconsistent with the provisions of the Income-tax Act ..... X X X X Extracts X X X X X X X X Extracts X X X X
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