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2016 (9) TMI 151 - AT - Income TaxSale and purchase of shares - short term capital gain or Business Income - Held that:- Mere volume or magnitude does not alter the nature of transaction, which are consistently assessed as income from capital gains from past years and even in future years by revenue. Where the assessee was holding large magnitude of shares as investment from year to year and transaction of shares in preceding years as well for the future years had been held as income from capital gains both on long term and short term basis, there was no basis for holding assessee as trader in shares for the year under consideration when his intention is clear that he want to hold the shares as investment ans not stock in trade. Accordingly, we are of the view that the Revenue has wrongly treated the transaction of sale and purchase of shares of Munjal Auto as business income, whereas actually it is an investment and income arising out of the same is capital gains. We direct the Assessing Officer to assess the same as short term capital gain. - Decided in favour of assessee
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