Error by CA not changes Income from Capital Gain to Business Profit

Karpaga Vinayagar Enterprises Pvt Ltd Vs ITO (ITAT Hyderabad) On perusing the audited statement of account of the assessee enclosed in paper book page No. 3 to 6 it is quite evident that the assessee has classified the equity shares purchased by it as ‘investments’ and not as ‘stock-in-trade’ as on 31/3/2006 and as on 31/3/2005 in the Balance Sheet. Therefore, the assessee is right in its rem to treat the gain resulting from the sale of its investment in equity shares under the head “income from short term capital gains” as per the provisions of the Act. Error committed by the Char...