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2018 (3) TMI 789 - AT - Income TaxTreatment of loss - business of purchase and sale of shares - Applicability of Explanation to Section 73 - assessee company contended that the loss from the business of purchase and sale of shares could not be considered in isolation for the purpose of application of Explanation to Section 73 as the activity of share broking was also the part and parcel of business of purchase and sale of shares. - Held that:- In the case of DCIT vs MPC Securities Ltd [2016 (7) TMI 539 - ITAT KOLKATA] held that the entire business of the assessee stock-broker constituted as one single composite indivisible business and therefore, income or loss from such business could not be artificially bifurcated for applying the provisions of Explanation to Section 73. Also as the activity of the assessee of share trading which was carried on its own account and on behalf of the client formed single composite indivisible business and the profit or loss of the same could not be artificially bifurcated for the purpose of Explanation to Section 73. Thus we uphold the impugned order of the Ld. CIT(A) allowing relief to the assessee on this issue Disallowance u/s 14A read with Rule 8D - Held that:- Both the sides have agreed that this issue is squarely covered in favour of the assessee by the decision of this Tribunal in the case of REI Agro Ltd.[2013 (9) TMI 156 - ITAT KOLKATA] - Revenue appeal dismissed.
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