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2013 (11) TMI 567 - AT - Income TaxSale of ESOP – Determination of Period of holding - Date of acquisition – Whether sale of ESOP constitutes long term (LTCG) or short term capital gains (STCG) – Held that:- Date of acquisition of ESOP is to be taken as the date when the option was given to the assesse, relying upon the decision in the case of ACIT vs. Sh. Param Paul Uberoi [2013 (11) TMI 566 - ITAT DELHI] and Abhiram Seth vs. JCIT [2011 (9) TMI 186 - ITAT, New Delhi]- Date of acquisition of ESOP is to be taken as the date when the option was given to the assesse. In other words the Tribunal in these decisions has held that the assesse acquired a valuable right on the date of grant and this valuable right, which is capital asset, when sold after 3 years, was liable to be taxed under the head "Long term capital Gain'". The valuable right which is a capital asset is held for more than 36 months by the assessee making it a long term capital asset – In the present case, directed the AO to tax the gain in question under the head "long term capital gain" – Decided in favor of Assessee.
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