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2016 (10) TMI 320 - ITAT KOLKATATransaction of shares - nature of income - business income or capital gain - Held that:- From the plain reading of clause (a) of the said Notification No.6/2016 dated 29.02.2016 we find that it has been instructed that if the assessee is irrespective of the period of holding treat the transaction for sale-purchase of the share as stock-in-trade then the Department shall not dispute on this matter. Accordingly, in this case, assessee has been treating the income arising from the sale-purchase of the share as STCG, therefore, lower authorities cannot dispute the same as “business income” Magnitude of the transactions do not alter the nature of the transactions. Therefore, magnitude of transactions carried out by the assessee in our view should not be very material in coming to the conclusion that income in question is income from business. Though the res judicata is not applicable but the principal of consistency will definitely apply and on that basis the claim of the assessee should be held proper. Accordingly we are inclined to reverse the order of authorities below - Decided in favour of assessee.
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