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TMI Blog2015 (2) TMI 851X X X X Extracts X X X X X X X X Extracts X X X X ..... e shares. In this case, this income has to be treated as short-term capital gain and not as a business income. Revenue was unable to show that the activity undertaken by the assessee was an adventure in the nature of trade. - Decided in favour of assessee. - ITA No.339 of 2013 (O&M) - - - Dated:- 21-2-2014 - MR. AJAY KUMAR MITTAL AND MS. ANITA CHAUDHRY, JJ. For the Appellant : Mr.Rajesh Sethi, Advocate JUDGEMENT Ajay Kumar Mittal J.- 1. This appeal has been preferred by the Revenue under section 260A of the Income-tax Act, 1961 (in short, the Act ), against the order dated April 11, 2013, annexure A.4 passed by the Income- tax Appellate Tribunal, Chandigarh Bench B (in short, the Tribunal ) in I. T. A. No. 175/Chd. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -term capital gain. According to the assessee, the same has resulted in short-term capital gain whereas the stand of the Revenue is that it was income from adventure in the nature of trade. 5. There is no straitjacket formula for concluding whether the transaction would fall within the domain of profits derived from an adventure in the nature of trade or outside its ambit. The facts and circumstances of each case would be determinative of the character of the receipt. The primary consideration in such cases relates to examining the nature of the transaction. Where a person invests money in an asset with intention to hold it, enjoys its usufruct for some time and then sells it at enhanced price, it would be a case of capital accretion o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 9;s business income from adventure in the nature of trade because this is an investment in shares and sale of some of the shares in order to repay the loan in the condition when the price of shares has quickly risen. Any income derived from the sale of shares has to be treated either long-term capital gain or short-term capital gain subject to holding of the shares. In this case, this income has to be treated as short-term capital gain and not as a business income. The following reasons which we are extracting from page 3 of the Commissioner of Income- tax (Appeals) order are also relevant for this consideration. We extract these reasons verbatim hereinafter as under : 'I. That the assessee is not a business person and she ..... X X X X Extracts X X X X X X X X Extracts X X X X
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