2014 (7) TMI 1388 - SCH - Income Tax

Benefit u/s 43(5) clause (d) - speculative loss - derivative transactions - derivative transactions between July, 2005 to September, 2005 were not eligible - Rule 6 DDA and Rule DDB were subsequently enacted to prescribe conditions and procedure for notification of a recognized stock exchange - National Stock Exchange and Bombay Stock Exchange were notified vide notification dated 25th January, 2006 - Notification No.2/2006 dated 25th January, 2006, issued by the Central Board of Direct Taxes does not specify any particular date and simply notifies the National Stock Exchange India Ltd. and Bombay Stock Exchange, Mumbai under proviso (d) to clause (5) to Section 43 of the Act. As decided by HC 2013 (9) TMI 733 - DELHI HIGH COURT we agree with the tribunal that the delay occasioned, as procedure and formalities have to be complied with, should not disentitle and deprive an assessee, specially, when the transactions were carried through a notified stock exchange. The rule and notification issued in the present case effectuate the statutory and the legislative mandate. There is no good ground or reason why the notification in question should not be given effect from 1st April, 2006. HELD THAT - Delay condoned. The special leave petition is dismissed.

Summary

The Supreme Court of India in 2014 dismissed a special leave petition after condoning the delay. The respondent did not have representation during the hearing.