TMI Blog2013 (4) TMI 189X X X X Extracts X X X X X X X X Extracts X X X X ..... sessment year and it has been held that the petitioner is entitled to set off the losses from sale and purchase of the share in the profits of the business of the company from loans and advances as such there is no justification for reassessment proceedings started by the Assessing Officer for the Assessment Year 1999-2000, on this very ground - The writ petition succeeds and is allowed - The notices U/s 148 of the Act and U/s 142 (1) of the Act, initiating proceedings for re-assessment are quashed - The parties shall bear their own costs. - Writ-Tax No.-1115 of 2005 - - - Dated:- 2-4-2013 - Prakash Krishna And Ram Surat Ram (Maurya),JJ. For the Petitioner : Vidya Bhushan Upadhya For the Respondent : C. S. C.,R. K. Upadhyay ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eturn in compliance of the notice dated 02.08.2004. Thereafter, the petitioner, through letter dated 23.08.2004, requested for supply of the reasons recorded for initiating the proceedings for reassessment. However notice dated 24.06.2005 has been issued without supplying the reasons. Subsequently reasons were supplied through letter dated 06.07.2005. The reasons in substance are that the business of the petitioner was to earn income from interest on advances and loans. Share trading activities of the petitioner was 'speculative business' as such loss of Rs. 1,30,350/- in share trading activities are not liable to be adjusted towards profits of business of the company. The petitioner in his return has illegally adjusted this amount. Accordi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... decided by this Court between the parties for another assessment year and it has been held that the petitioner is entitled to set off the losses from sale and purchase of the share in the profits of the business of the company from loans and advances as such there is no justification for reassessment proceedings started by the Assessing Officer for the Assessment Year 1999-2000, on this very ground. 6. In view of the aforesaid discussion, the writ petition succeeds and is allowed. The notices dated 02.08.2004 under Section 148 of the Act and dated 24.06.2005 under Section 142 (1) of the Act, initiating proceedings for re-assessment for the Assessment Year 1999-2000 by Assistant Commissioner of Income-tax-IV, Kanpur (respondent-1) are qua ..... X X X X Extracts X X X X X X X X Extracts X X X X
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