TMI Blog2016 (7) TMI 961X X X X Extracts X X X X X X X X Extracts X X X X ..... Appeal, the Appellant assessee has challenged the judgment and order dated 31.03.2006 of the Income Tax Appellate Tribunal, Rajkot Bench in ITA No.451/Ahd./2005 for the Assessment Year : 1993-1994, whereby the Tribunal reversed the decision of CIT (Appeals) and confirmed the order of the Assessing Officer. 2. While admitting the matter on 06.03.2007, the following substantial question of law was framed by the Court for consideration :- Whether on the facts and in the circumstances of the case, the Tribunal was right in law in holding that all the shares sold by the assessee were held by him on business account and not on investment account? 3. The facts of the case are as under :- The appellant assessee sold in the Assessm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... me earned by the assessee on sale of shares is liable to be taxed as business profits and not as capital gain. It is further submitted that the Tribunal failed to appreciate that in all the Assessment Years upto 1992-93, both in Income Tax and Wealth Tax, the assessee was held to be an investor and there is no justification for holding her to be a trader without seeing the facts of the year in which she purchased the shares, sold in the Assessment Year : 1993-1994 and instead seeing the facts of the Assessment Year : 1993-1994, which also did not justify the finding of a trader. It is further submitted that the Tribunal failed to appreciate that in a case where the assessee is accepted to be an investor of shares for a long past, a heavy on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ndent has supported the findings of the Tribunal and has taken this Court to paragraph 6 of the findings as well as to ultimate decision of the Tribunal which reads as under :- 7. Considering all these facts as discussed above particularly considering the overall conduct of the assessee in dealing with the shares and debentures, we are of the view that the Assessing Officer was perfectly justified in holding the income from sale of shares / certificates is the income from business and not capital gains , as claimed by the assessee. Therefore, we reverse the order of the CIT(A) and restore that of the Assessing Officer on the issue. 6. We have heard learned Counsel appearing for the respective parties and perused the records of th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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