M/s Kemfin Services Pvt. Ltd., Bangalore V. ACIT, Bangalore

ITA 1040/BANG/2010

• Counselvise Citation: [2011] 135 COUNSELVISE.COM (IT) 1444 (ITAT-BANGALORE)
• Duration Of Justice: 6 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-03-2011
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 30-03-2011
• Assessment Year: 2006-2007
• Appeal Filed On: 01-09-2010
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: AMRITA RANJAN
• Keywords: Business income

Judgement Text

ITA.1040/BANG/2010 P AGE - 1 IN THE INCOME TAX APPELLATE TRIBUNAL BANGALORE BENCH 'A', BANGALORE BEFORE DR. O. K. NARAYANAN, VICE PRESIDENT AND SMT. P. MADHAVI DEVI, JUDICIAL MEMBER I.T.A NO.1040/BANG/2010 (ASSESSMENT YEAR : 2006-07) M/S. KEMFIN SERVICES P. LTD., KEMWELL HOUSE, 11, TUMKUR ROAD, .. APPELLANT BANGALORE 560 022 V. ASSISTANT COMMISSIONER OF INCOME-TAX, CIRCLE -11(5), BANGALORE .. RESPONDENT APPELLANT BY : SHRI. TATA KRISHNA, CA RESPONDENT BY : SMT. AMRITA RANJAN, ADDL.CIT O R D E R PER DR. O. K. NARAYANAN, VICE PRESIDENT : THIS APPEAL IS FILED BY THE ASSESSEE. RELEVANT AS SESSMENT YEAR IS 2006-07. THE APPEAL IS DIRECTED AGAINST THE ORD ER OF THE COMMISSIONER OF INCOME-TAX(A)-I AT BANGALORE, DATED .09.06.2010. THE APPEAL ARISES OUT OF THE ASSESSMENT COMPLETED U /S.143(3) OF THE INCOME-TAX ACT, 1961. 02. THE ONLY ISSUE RAISED IN THE PRESENT APPEAL IS THAT WHETHER THE INCOME GENERATED IN THE HANDS OF THE ASSESSEE ON CO NVERSION OF SHARES FROM STOCK-IN-TRADE TO INVESTMENT HAS TO BE TREATED AS BUSINESS INCOME ITA.1040/BANG/2010 P AGE - 2 OR SHORT-TERM CAPITAL GAINS. THE VERY SAME ISSUE W AS CONSIDERED BY THE ITAT, BANGALORE 'B' BENCH IN ASSESSEE'S OWN CA SE FOR THE ASSESSMENT YEAR 2005-06 IN ITA.380/BANG/2010, THROU GH THEIR ORDER DATED.07.10.2010. HAVING CONSIDERED IN A VERY DETA ILED MANNER, THE TRIBUNAL HAS HELD THAT THE REVENUE AUTHORITIES HAVE RIGHTLY HELD THE SURPLUS AS BUSINESS INCOME IN THE HANDS OF THE ASSE SSEE. FOLLOWING THE ABOVE STATED ORDER, WE FIND THAT THIS APPEAL FILED BY THE ASSESSEE FOR THE IMPUGNED ASSESSMENT YEAR IS LIABLE TO BE DISMIS SED. 03. IN RESULT, APPEAL FILED BY THE ASSESSEE IS DISM ISSED. ORDER PRONOUNCED IN OPEN COURT AT THE TIME OF HEARI NG ON THIS DAY, THE 30TH OF MARCH, 2011, AT BANGALORE. SD/- SD/- (P. MADHAVI DEVI) (DR. O. K. NARAYANAN) JUDICIAL MEMBER VICE PRESIDENT