9911796707
TMI Blog2018 (3) TMI 378X X X X Extracts X X X X X X X X Extracts X X X X ..... acts already available on record which warranted recomputation of income by the ld CIT-A. The revenue cannot be aggrieved on the same. Hence the Ground No. 2 raised by the revenue is rejected outrightly. We find that the revenue had pleaded in Ground No.1 that the opening stock of shares as on 1.4.2011 should be taken at ₹ 4,16,12,081/-, for which no workings were provided by the ld DR before us. We find that this figure does not emanate either from the assessment order or from the appellate order. No workings for the same in any manner whatsoever were furnished by the ld DR before us to address the grievance of the revenue in this regard. On the contrary, we find that the ld CITA had adopted the figure of opening stock of shares ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing total income of ₹ 5,67,808/-. The assessee derived rental income from a house property located at Flat 2C, Diamond Heights, 20/1, Chetla Road, P.S.Chetla, Kolkata 700027. She also had income from share trading, share speculation, short term capital gains (STCG) and dealt in commodity trading. In her return, she claimed ₹ 2,02,86,075.91 as income from long term capital gains (LTCG) on the following scrips :- Name of the Scrips Number of Shares Bajaj Finance 34777 Coal India 73165 Gitanjali 30000 Prakash Industries 25 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dded by the ld AO as unexplained investment. Besides this, the ld AO added the value of ₹ 13,83,500/- to the total income , being the holding of 10000 scrips of Nifty April 12 having value of ₹ 13,83,500/-. The ld AO observed that the entire funding of purchase of shares, derivatives and futures were conducted by taking loan from HDFC Bank and pledging the shares to HDFC. The assessee had sold majority of shares before the record date of dividend and accordingly observed that the intention of the assessee was not to earn any dividend. Based on huge volume of transactions and minimum holding period, he held that the assessee had carried out the activities of purchase and sale of shares, derivatives only as an adventure in the nat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ctions of ₹ 117,20,05,213/- and the corresponding Sales of ₹ 120,60,96,443/-. The AO has observed that the purchase and sale of these shares were more of adventure in nature of trade rather than investment. The AO has further increased the value of the closing stock by the value shown by the share broker in his books; the net addition on this point was ₹ 17,95,381/-. The AO has further added ₹ 13,83,500/- as the stock of NIFTY shown in the balance sheet but not shown by the broker. Additionally, the AO calculated the business income from intraday transactions in the shares at ₹ 63,82,744/-. It is seen that the transactions obtained from the broker u/s 133(6) included the transactions on which the appellant has ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f ₹ 13,83,500/- as the value of stock of NIFTY shown in the balance sheet of the appellant but not informed u/s 133(6) by the broker is without any basis. The appellant has submitted that the broker does not show the contract of sale/purchase of the scrips which are not settled through actual delivery. 4.3. After considering all the these issues the AO is directed to compute the income as under: 4.3.1 Income from House Property (as per assessment order) ₹ 3,10,318/-. 4.3.2. Income from Business (as per assessment order) a. Profit from commodity (MCDX) ₹ 2,89,155/- b. Profit from commodity NCX futures ₹ 9,873/- c. F O Income (-) ₹ 10,80,117/- 4.3.3. Income from other s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellant crave leave to submit additional grounds of appeal, if any, at or before the time of hearing and/or alter, modify, reframe any grounds of appeal at or before the time of hearing. 5. We have heard the rival submissions. At the outset, the ld DR was not able to point out what were the evidences and documents that were filed by the assessee before the ld CITA so as to seek an opportunity for the ld AO and alleging violation of provisions of Rule 46A of the Rules. The ld CITA had actually recomputed the entire gains as business income without any bifurcation of gains into business or capital gains, by actually enhancing the income of the assessee , from the very same materials that were available on record. There was no addit ..... X X X X Extracts X X X X X X X X Extracts X X X X
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