TMI Blog2016 (8) TMI 805X X X X Extracts X X X X X X X X Extracts X X X X ..... han a month was to earn quick profits. The order of the learned CIT (A) is thus well reasoned order and we do not find any infirmity in the same. Resultantly, both the cross appeals, one by the assessee and the other by the Revenue stand dismissed. - ITA No.2495/Mum/2014, ITA No.3815/Mum/2014 - - - Dated:- 20-7-2016 - SRI G. S. PANNU, ACCOUNTANT MEMBER AND SRI SANJAY GARG, JUDICIAL MEMBER For The Revenue : Shri Jeevan Lal, DR For The Assessee : Shri Apurva R. Shah, AR ORDER Per Sanjay Garg, Judicial Member: Out of the above captioned two appeals, the appeal in ITA No. 2495/M/2014 by the assessee and the other appeal in ITA No.3815/2014 preferred by the Revenue are against the order of the learned Commissioner of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as to purchase and sell the shares and was not that of an investor and the said activities were carried out as business activities. He, therefore, treated the short term capital gains claimed by the assessee as business income of the assessee. However, he did not disturb the claim of the assessee regarding long term capital gains. Being aggrieved by the above order of the AO, the assessee preferred appeal before the learned CIT (A), who after considering the overall facts and circumstances of the case, observed that the stock of shares was always reflected by the assessee as investment in its books of account and the same was valued at cost and not at the market value. He also considered the submissions of the assessee that the funds we ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e-sales of the same scrip within a short span of time. He, while relying upon the decision of the ITAT, Mumbai in the case of ACIT Vs. Veena S. Kalra in ITA No.2403/Mum/2012 Order dated 10-07- 2013 held that the intention of the assessee in relation to the transactions wherein he had re-entered in sale and purchase of the same scrips within a short span of time was not that of an investor, but for making quick profits. He, therefore, directed the AO to treat a sum of ₹ 10,17,065/- earned by the assessee out of the transactions where there was churning of portfolios as business income of the assessee and to treat the balance income as capital gains. Being aggrieved by the above order of the learned CIT (A), the Revenue has come in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a) has categorically held that the Department should take a consistent approach if the nature of the activity is identical in the subsequent years. In our view, there should be uniformity in the approach when the facts and circumstances are identical. The change of stand every year regarding the treatment of income from a particular activity will not only create uncertainty in the mind of the assessee but also deprive the assessee from claim of eligible carry forward capital loss or business losses. The assessee has explained that it had sufficient own funds for making investment. However, due to the losses during the earlier assessment years, the assessee in this year needed the funds and the funds were obtained from its Karta and from a f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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