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2010 (2) TMI 695 - AT - Income TaxProfit from share trading business - STCG or Business income - The assessee during the previous year had entered into transactions of purchase of shares of about 200 companies and all those shares were sold - The above transactions were effected by taking and giving of shares at the time of purchase and sale, besides such transactions the assessee had also entered into transactions of purchase and sale of shares where there was no actual delivery - Both the transactions were in respect of transaction of purchase and sale of shares where the holding period was less than 12 months - The profit on transaction and sale of shares where there was no delivery was offered to tax by the assessee as speculative income under the head 'business income' - The income from other transactions where there was actual delivery was claimed by the assessee to be STCG - Such transactions were about 800 in number during the previous year - The maximum holding period was from 1 day to maximum 6 months - The nature of speculative transactions have been considered by the assessee herself to constitute business - The income from delivery based transactions are sought to be projected as STCG only because there was actual delivery and because they were shown as investments in the books of account of the assessee - Thus, the conclusion of the revenue authorities that the income from sale of shares declared by the assessee as STCG is income from business is correct and calls for no interference - Appeal is dismissed
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