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2013 (11) TMI 159 - AT - Income TaxCapital gain on sale of shares – Taxable under the profits and gains from business or Capital Gains – Held that:- The assessee has effected the sale of shares maximum within 30 days of purchase of such shares which clearly indicates that the assessee was carrying on the business by applying in shares through IPO and thereafter selling them immediately on allotment – This shows that the intention of the assessee was not to hold the allotted shares but to sell the same on allotment to take advantage of market imperfection - If the purchases and sales are effective within 90 days then they should be treated as trading of shares and if the transactions are held more than 90 days then those purchase and sales should be treated as investment portfolio - Decided against assessee.
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