Law:

Section:

Section 45, read with section 28(i), of the Income-tax Act, 1961 - Capital gains - Chargeable as - Assessee was engaged in business of sale and purchase of shares - It showed profit arising from sale of certain shares, as 'Capital gain' - Assessing Officer treated same as 'business income' on ground that assessee was engaged in business of sale purchase of shares - On appeal, Commissioner (Appeals) reversed order of Assessing Officer by observing that assessee was maintaining two separate portfolio accounts, one for business purposes and other for investment purposes and shares in question were purchased with intention of investment as same were reflected in investment portfolio - Tribunal upheld order of Commissioner (Appeals) - Whether on facts Tribunal had taken correct decision - Held, yes FACTS The assessee-company was engaged in business of sale purchase of shares. It earned profit on sale of certain shares of a company and showed the same as long-term capital gain. The Assessing Officer, however, treated the income from sale of shares as business income. On appeal, the Commissioner (Appeals) observed that assessee was maintaining two separate portfolio accounts one for investment purposes and other for business purpose and share in question were purchased with intention of investment and not with intention to trade. Therefore, he reversed the order of the Assessing Officer. On the revenue's appeal, the Tribunal upheld the order of the Commissioner (Appeals). On the revenue's appeal to the High Court : HELD Findings of facts were recorded by the two authorities below that the assessee was maintaining two portfolios and insofar as shares in question were concerned, they were taken as investment from the date of purchase itself and shown in investment portfolio. The profits resulted therefrom was capital gain. The revenue could not show any perversity in those findings. Those were pure findings of facts. Therefore, the appeal was to be dismissed. [Para 8] CASE REFERRED TO CIT v. Reqashanker A. Kothari [2006] 283 ITR 338 / 155 Taxman 214 (Guj.) [Para 6]. Sanjeev Sabharwal for the Appellant. JUDGMENT A.K. Sikri, J. - The question raised in this appeal is as…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492