Calcutta HC Upholds ITAT Order: Share Sale Gains Treated as Capital Gains

CIT Vs Century Plyboards (I) Ltd. (Calcutta High Court) Calcutta High Court has upheld the order of the Income Tax Appellate Tribunal (Tribunal), ruling in favor of Century Plyboards (I) Ltd. and against the Commissioner of Income Tax (CIT). The core dispute revolved around whether the profit of ₹4,32,09,144/- earned by the assessee company from the sale of shares in six companies during the assessment year 2005-2006 should be taxed as long-term capital gains, as claimed by the company, or as business income, as contended by the Assessing Officer (AO). The AO had argued that the frequent an...