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2018 (3) TMI 137 - AT - Income TaxDisallowance u/s 14A - Held that:- The assessee has earned dividend income of ₹ 13,51,268/-. There is an investment in equity shares of ₹ 3,80,35,247/-. There have been regular transactions of purchase and sale of shares and no specific expenditure has been disallowed suo moto in the return of income. It is beyond imagination that the assessee has not incurred any expenditure. Even through the method provided in Rule 8D read with rule 14A has been brought into effect from the assessment year 2008-09 but still, in our view, minor disallowance of ₹ 2,39,108/- is justified at the end of the Assessing Officer. We find no infirmity in the findings of the Commissioner of Income Tax (Appeals) confirming the impugned disallowances. - Decided against assessee Income from share trading - treatment as short term capital or business income - nature of income - Held that:- In normal parlance if the assessee is indulged in some regular activity, which may be of providing service, earning salary, any business other than that of equity shares and along with this regular activity, if it occasionally deals in equity shares then such gain is normally shown ca capital gain but in the case of the assessee it has no other source of income and is engaged in trading of shares and securities consistently since long and major source of income is from trading in shares only and if such assessee subsequently opts to show transactions of purchase and sale of shares as capital gains and simultaneously also shows trading in shares then both the things cannot go together unless otherwise demarketed with proper records. No reason to interfere with the findings of the Commissioner of Income Tax (Appeals) treating as business income relying in the case of Wallfort Financial Services (2010 (6) TMI 510 - ITAT, MUMBAI) and Puran Associates Pvt. Ltd., (2012 (4) TMI 266 - ITAT DELHI ) - Decided against assessee
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