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1998 (9) TMI 20

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..... nd 1977-78. The question referred are : " 1. Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that the assessee's computation of business profits on the sale of lands at Nawab Gardens was proper ? 2. Whether the Tribunal's view that for finding out the business profit for the sale of lands, the market value on the date of conversion of the asset fro .....

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..... n or whether as claimed by the assessee the cost of acquisition should be computed with reference to July 6, 1972, on which date the company decided to treat this investment as its stock-in-trade by developing the land into plots and selling the sites so formed in the lay out. The Tribunal, as a question of fact, held that the development of the land was in fact carried on only after 1972 when .....

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..... the same and after effecting such development, the land was sold in small parcels on a profit. The tribunal has also observed in its order that lands as in the year 1972 could be held either as an investment or stock-in-trade and that the assessee had held it as investment till July 6, 1972, and it is only thereafter that it bid treated that land as its stock-in trade. The Tribunal has held that : .....

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..... the shares was the difference between the sale price of the shares and the market price of the shares prevailing on the date when the shares were converted into stock-in-trade of the business in shares, and not the difference between the sale price and the price at which the shares were originally purchased by the assessee. What was said in that case in relation to shares could also be said in r .....

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