Buying and selling of share in short span of time doesn’t changed character of capital gain as business income

2 Comments

1. vswami says:

   RIDER

   Re. “Decision of this court” , since found out from eleswhere , refers to the decision in re. – CIT Vs. Gopal Purohit.

     Reply

   January 20, 2019 at 6:57 pm
2. vswami says:

   Random picks , for comment (:
   “…….
   Tribunal kept in mind the tests AS PROVIDED IN THE CIRCULAR ……”

   “…Moreover, the impugned order of the Tribunal also in the present facts CORRECTLY PLACED RELIANCE UPON THE DECISION OF THIS COURT.”

   “In the above facts, the view taken by the Tribunal on the facts IS A POSSIBLE VIEW. Hence, the question as proposed does NOT GIVE RISE TO ANY SUBSTANTIAL QUESTION OF LAW thus not entertained”

   (FONT to focus)

   REFER [2006]153 TAXMAN 126 (ART)
   BUSINESS INCOME
   SHARES/STOCKS – CAPITAL ASSET OR STOCK – IN -TRADE ? – A FRESH LOOK

   In the opening para. therein, are referred to,- the CBDT’s instruction No. 1827 dated 31-8-1989, then followed by a fresh circular F. No. 149/287/2005-TPL,

   Unclear reference made in the instant case is to which of the two circu;lars.
   Further, so far as seen, there is no citation given , hence not known reference made is to which ‘ decision of this court’ on which the Tribunal is said to have correctly placed reliance.

   Be that as it may, recommend to go through the detailed discussion of the subject matter, wprt interalia the legislative intent as borne out by the special definitions in the Act vide sec 2 (13) and (14) , respectively of the crucial terms ”business’ and ‘capital asset’. As stressed and substantiated more than adequaely, in that article, , the Tribunal’s view, as upheld by the HC in the instant case, might have to be agreed/ conceded, with no qualms, to be the one and only correct view ; not just a ‘possible vlew’ as opined by the HC.

   courtesy

     Reply

   January 20, 2019 at 6:43 pm