Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2014 (5) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (5) TMI 321 - DELHI HIGH COURTNature of income – STCG or not – Trading in shares - Whether the Tribunal fall into error in upsetting the findings of the AO and CIT (A) that the amount determined by the AO as business income of the assessee was liable to be treated as short-term capital gain – Held that:- Even though the Tribunal has made an exhaustive discussion of the law as to what kind of transaction would amount to capital gains, the assessment of the present transaction - which by all counts appears to be extremely unusual - has escaped its attention as is evident from the above extract - The assessee had in fact not purchased the shares in late October as claimed by her - She raised a loan of Rs.1 lakh indirectly from someone to pay for the purchase price of shares on 04.01.2007 - The amount was paid on 05.01.2007 and on the same day the shares were transferred to her DMAT account - the shares appear to have been sold on 10.01.2007 - the transaction was a solitary one, is justified - The conclusion of the AO and the CIT(A) that the profit derived was not a short-term capital gain but in reality a business perhaps a short-term one-engaged in by the assessee cannot be faulted at all – thus, the order of the Tribunal is set aside and the matter is remitted back to the AO – Decided in favour of Revenue.
|