Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2011 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2011 (9) TMI 1035 - ITAT MUMBAITreatment given to the profit from shares - taxable under the head `Capital gains’ OR `Business income’ - Held that:- The principle of consistency requires that the view taken in one year should be followed in subsequent years, unless the facts or the legal position justify departure therefrom. Recently the Hon’ble Bombay High Court in CIT Vs. Darius Pandole [2010 (6) TMI 405 - Bombay High Court ] has held that income from sale of shares treated as business income in earlier year by way of assessment u/s 143(3) cannot be taken as capital gain in subsequent year. The essence of the judgement is that the principle of consistency should be followed and the parties should not be allowed to register departure from the existing position time and again. Since in the earlier years the Department has accepted income from shares as falling under the head 'Capital gains’, in our considered opinion and respectfully following the above judgements, that the learned CIT(A) was justified in upholding the assessee’s stand.
|