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TMI Blog2016 (3) TMI 865X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee. Having regard to all these facts of the case, I am of the view that the relevant shares were purchased by the assessee as investor and the profit arising from sale thereof was chargeable to tax in her hands as short-term capital gains and not business income. In that view of the matter, set aside the impugned order of the ld. CIT(Appeals) on this issue and direct the Assessing Officer to bring to tax the profit of the assessee from sale of shares in her hands as short term capital gain. - Decided in favour of assessee - ITA No. 1400/Kol/2013 - - - Dated:- 10-2-2016 - P. M. Jagtap, AM For the Appellant : Shri R M Jain, Adv For the Respondent : Shri Tanuj Niyogi, JCIT, Sr DR ORDER This appeal is preferred by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat the entire sale proceedings of the shares were chargeable to tax in the hands of the assessee under the head income from other sources . Without prejudice to this conclusion drawn by him, the Assessing Officer also held that the relevant shares having been purchased by the assessee with the sole intention of selling the same for profit and not to hold the same to enjoy income thereon for sometimes, the profit arising from sale of such shares was chargeable to tax in the hands of the assessee as business income and not capital gains. In the assessment completed under section 143(3) vide an order dated 22.11.2007, the Assessing Officer, however, finally brought to tax the amount of profit of ₹ 11,54,913/- arising on sale of shares ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d. 4. On the basis of the above findings/observations recorded by him, the ld. CIT(Appeals) held that the profit arising from the relevant transactions in shares was chargeable to tax in the hands of the assessee as business income and not short-term capital gains. Accordingly, the order of the Assessing Officer on this issue was upheld by him. Aggrieved by the order of the ld. CIT(Appeals), the assessee has preferred this appeal before the Tribunal. 5. I have heard the arguments of the sides and also perused the relevant material available on record. Although the ld. D.R. has strongly relied on the orders of the authorities below in support of the Revenue's case on the issue under consideration, it is observed that the various fi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sent case as explained by the ld. Counsel for the assessee from the relevant material placed on record, I find myself in agreement with the ld. Counsel for the assessee that the relevant shares were purchased by the assessee as an investor and the profit arising from sale thereof , therefore, is chargeable to tax in the hands of the assessee as capital gain. First of all, there were only seven transactions in shares entered into by the assessee during the year under consideration, three of purchase of shares and four of sale of shares. The frequency of share transactions thus was very low and even the shares of total three Companies purchased by the assessee were held for a period of about three months. Moreover, all these three Companies w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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