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2015 (3) TMI 705 - AT - Income TaxProfit on sale of shares - short term and long term capital gain v/s business income - Held that:- The assessee made investment in shares with intention to earn dividend income on appreciation of price of shares. Therefore, it cannot be said that the assessee was doing business. Since in earlier assessment years the claim of the assessee was consistently accepted as short term capital gain, it was held that the rule of consistency as propounded by Hon'ble Bombay High Court in the case of Gopal Purohit (2010 (1) TMI 7 - BOMBAY HIGH COURT), it is fairly applicable and the income has to be treated as short term capital gain. Identically in the case of Nagindas P Seth (2011 (4) TMI 3 - ITAT MUMBAI ) it was held that despite large number of transactions in shares, the profit can be assessed as capital gains under the facts of the case. The case of the assessee is further fortified by these decisions more specifically when the assessee was hold the shares in his books as investor, as well as stock-intrade separately. The decision in the case of Janak S Ranawala,(2006 (12) TMI 261 - ITAT MUMBAI ) further supports the case of he assessee. Likewise, the decision from Hon'ble Madras High Court in CIT vs N.S.S. Investment Pvt Ltd. (2005 (4) TMI 45 - MADRAS High Court ), CIT vs. Associated Industrial Development Company, (1971 (9) TMI 3 - SUPREME Court) supports the case of the assessee. Accordingly, we uphold the order of CIT(A) and dismiss the appeal of the revenue. - Decided in favour of assesee.
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