Tash Investments Pvt. Ltd., Vadodara V. The ACIT, Circle-2(1)(1), Baroda

ITA 1158/AHD/2016

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 6542 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 11 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-04-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: Not Allotted
• Assessment Year: 2012-2013
• Appeal Filed On: 04-05-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: LALIT P JAIN
• Keywords: Capital asset; Business income; Source of fund; Rule 8D; Set aside
• Section: 143(3); 2(14); 14A

Judgement Text

, C IN THE INCOME TAX APPELLATE TRIBUNAL C BENCH, AHMEDABAD BEFORE SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER & SHRI MAHAVIR PRASAD, JUDICIAL MEMBER ./ I.T.A. NOS. 1158 & 1615/AHD/2016 ( ASSESSMENT YEARS : 2012-13 & 2011-12) TASH INVESTMENT PVT. LTD. 9 TH FLOOR, ABS TOWER, OLD PADRA ROAD, VADODARA - 390015 / VS. ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 2(1)(1) / CIRCLE 4, BARODA ./ ./ PAN/GIR NO. : AAACT6737A ( APPELLANT ) .. ( / RESPONDENT ) & ./ I.T.A. NOS. 1162 & 1614/AHD/2016 ( ASSESSMENT YEARS : 2012-13 & 2011-12) ASSISTANT COMMISSIONER OF INCOME TAX CENTRAL CIRCLE-3, AAYAKAR BHAVAN, RACE COURSE CIRCLE, BARODA 390007 / VS. TASH INVESTMENT PVT. LTD. 9 TH FLOOR, ABS TOWER, OLD PADRA ROAD, VADODARA - 390015 ( APPELLANT ) .. ( / RESPONDENT ) / ASSESSEE BY : SHRI SUNIL TALATI, A.R. / REVENUE BY : SHRI LALIT P. JAIN, SR. DR DATE OF HEARING 12/03/2019 !'# / DATE OF PRONOUNCEMENT 30/04/2019 ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 2 / O R D E R PER PRADIP KUMAR KEDIA - AM: THE CAPTIONED CROSS APPEALS HAVE BEEN FILED AT THE INSTANCE OF THE ASSESSEE AND REVENUE AGAINST THE ORDERS OF THE COMMISSIONER OF INCOME TAX (APPEALS)-2, VADODARA (CIT(A) IN SHORT ), DATED 02.02.2016 & 02.03.2016 ARISING IN THE ASSESSMENT O RDERS DATED 02.02.2015 & 03.03.2013 PASSED BY THE ASSESSING OFF ICER (AO) UNDER S. 143(3) OF THE INCOME TAX ACT, 1961 (THE ACT) RES PECTIVELY CONCERNING AYS. 2012-13 & 2011-12. 2. THE GROUNDS OF APPEAL RAISED BY THE REVENUE IN I TA NO. 1162/AHD/2016 FOR AY 2012-13 READ AS UNDER: 1. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) HAS ERRED IN LAW AS WELL AS FACTS AND CIRCUM STANCES OF THE CASE BY TREATING LONG TERM/SHORT CAPITAL GAIN/L OSS AS BUSINESS INCOME, THE ASSESSEE COMPANY IS AN INVESTM ENT COMPANY AND INCOME ARISING FROM THE ACTIVITIES CARR IED OUT BY THE COMPANY IS NOT BUSINESS INCOME BUT INCOME FROM CAPITAL GAIN. 2.1 BRIEFLY STATED, THE ASSESSEE COMPANY IS STATED TO BE INVESTMENT COMPANY REGISTERED WITH RBI AS NON-BANKING FINANCE COMPANY (NBFC) INTER ALIA ENGAGED IN INVESTMENT AND MONEY ADVANCING ACTIVITIES FOR THE ASSESSMENT YEARS IN QUESTION. T HE ASSESSEE FILED RETURN OF INCOME FOR AY 2012-13 IN QUESTION DECLARI NG LOSS OF RS.1,81,90,320/-. THE RETURN FILED BY THE ASSESSEE COMPANY WAS SUBJECTED TO SCRUTINY ASSESSMENT. IN THE COURSE OF SCRUTINY PROCEEDINGS, THE AO OBSERVED THAT THE RECORD OF THE ASSESSEE SHOWS THAT PRINCIPAL ACTIVITY OF THE ASSESSEE IS DEALING IN SHARES. THE AO ACCORDINGLY DISPUTED LONG TERM CAPITAL GAIN/LOSS AN D SHORT TERM CAPITAL GAIN/LOSS OFFERED BY THE ASSESSEE ON PURCHASE AND S ALE OF SHARES ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 3 OFFERED BY THE ASSESSEE UNDER THE HEAD CAPITAL GAI NS. THE AO NOTED THAT THE ASSESSEE HAS INCORRECTLY DECLARED THE GAIN S/LOSSES ARISING ON PURCHASE AND SALE OF SHARES TO BE TAXABLE UNDER THE HEAD CAPITAL GAINS WHEREAS IN REALITY THE PROFIT AND GAINS ARE LIABLE TO BE TAXED UNDER THE HEAD BUSINESS INCOME BEING ADVENTURE IN THE NATURE OF TRADE AS DEFINED UNDER S.2(13) OF THE ACT. THE AO THUS SOUGHT TO DENY THE CONCESSIONAL TAX TREATMENT AVAILABLE TO CAPITAL GAIN TRANSACTIONS ON PURCHASE AND SALE OF SHARES. THE AO INTER ALIA SUMMARIZED THE FACTUAL POSITION EMERGING FROM THE FACTS AND MATERIAL PLACE D ON BEHALF OF THE ASSESSEE WHICH IS REPRODUCED AS UNDER: (1) ASSESSEE'S PRINCIPAL SOURCE OF INCOME IS FROM PURCHASE AND SALE OF SHARES. (2) ASSESSEE IS INVOLVED IN THIS SHARE BUSINES S ACTIVITIES FOR SEVERAL YEARS. (3) ASSESSEE IS NOT ENGAGED IN ANY BUSINESS AC TIVITIES OTHER THAN PURCHASE AND SALE OF SHARES/ MUTUAL FUND UNITS. (4) ASSESSEE WAS ALSO ENGAGED IN SPECULATION ACTIVITY FOR SEVERAL S INCLUDING THE YEAR UNDER CONSIDERATION. (5) DURING THE CURRENT ASSESSMENT YEAR, THE ASSESSE E HAS DEALT IN OVER 65 SCRIPS AND 216 PURCHASE/SALE TRANSACTIONS. SIMILAR FREQUENCIES OF TRANSACTIONS ARE MADE IN THE EARLIER YEARS AND ALSO IN SUBSEQUENT YEARS. (6) ASSESSEE HAS PURCHASED 50843 SHARES AND SOLD 28 9825 SHARES DURING THE PREVIOUS YEAR RELATING TO THIS ASSESSMEN T YEAR. IT IS IMPORTANT TO MENTION HERE THAT SIMILAR VOLUMES OF P URCHASES AND SALE ARE DONE IN LAST SEVERAL YEARS AND IN SUBSEQUENT YE ARS ALSO. (7) IN AS MANY AS 18 SCRIPS OUT OF THE SHORT TERM C APITAL GAINS, SHARES HAVE BEEN PURCHASES, SOLD & AGAIN REPURCHASE D 85 RESOLD. (8) THE SOURCE OF FUND UTILIZED FOR ACQUISITION OF SHARES ARE BOTH BORROWED AS WELL AS ACCRUALS OF THE BUSINESS. (9) THOUGH THE ASSESSEE CLAIMS THAT IT IS A NON-BAN KING FINANCIAL COMPANY, IT HAS ADVANCED CERTAIN SUM OF MONEY, ON W HICH NO INCOME/INTEREST IS GENERATED, WHICH OTHERWISE IS TH E MAIN OBJECT OF AN NBFC. ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 4 2.2 THE AO THUS NOTED THAT THERE EXISTS A LARGE VOL UME AND TRANSACTIONS IN SHARES UNDERTAKEN BY THE ASSESSEE W ITH CONSIDERABLE FREQUENCY. IT WAS FURTHER OBSERVED THAT ENTIRE TIM E SPENT WAS MERELY ON DEALING IN SHARES WHICH IS THE SOLITARY ACTIVITY OF THE ASSESSEE COMPANY. THE AO FURTHER NOTED THAT THE ASSESSEE HA S BEEN DOING THIS ACTIVITY THROUGH PORTFOLIO MANAGEMENT SERVICES (PMS ) AND PROFESSIONAL SERVICES OF THREE OF SUCH PMS WERE TAK EN. THE AO FURTHER NOTED THAT SUCH TRANSACTIONS IN SHARES WERE CARRYING OUT BY THE ASSESSEE FOR SEVERAL YEARS WHICH PROVES THE CONTINU ITY AND REGULARITY. THE EARNING FROM SALE OF SHARES WERE SYSTEMATICALLY RE-INVESTED IN ACQUISITION OF NEW SHARES ON A REGULAR BASIS COUPLE D WITH HUGE PROFITS GENERATED WOULD INDICATE A CLEAR PROFIT MOTIVE OF T HE ASSESSEE. THE AO TOOK NOTE OF SOME JUDICIAL PRONOUNCEMENTS AS WEL L AS THE CBDT CIRCULAR NO. 4/2007 ISSUED BY THE CBDT IN THIS REGA RD AND FOUND THAT HAVING REGARD TO THE SUBSTANTIAL NATURE OF VALUE OF TRANSACTIONS, THE MAGNITUDE OF PURCHASE AND SALE, THE ASSESSEE WAS FO UND TO BE ENGAGED IN A SYSTEMATIC, REGULAR AND PERIODIC ACTIVITY WITH NUMEROUS AND CONTINUOUS TRANSACTION WHICH IS AKIN TO ADVENTURE I N THE NATURE OF TRADE IN DISTINCTION TO AN INVESTMENT ACTIVITY ONLY AS CLAIMED BY ASSESSEE. THE AO ACCORDINGLY HELD THAT INCOME/LOSS ARISING FROM PURCHASE AND SALE OF SHARES GIVE RISE TO BUSINESS I NCOME AND CANNOT BE TAXED AT CONCESSIONAL RATE APPLICABLE FOR INCOME AS SESSABLE UNDER THE HEAD CAPITAL GAINS. THE AO, IN SHORT, DENIED THE BENEFITS OF CONCESSIONAL TAX TREATMENT ON GAINS/LOSS ARISING FR OM SALE OF SHARES. 3. AGGRIEVED, THE ASSESSEE PREFERRED APPEAL BEFORE THE CIT(A). IN THE FIRST APPEAL, THE CIT(A) HOWEVER REVERSED THE A CTION OF THE AO ON THE GROUND THAT THE INVESTMENT IN THE FORM OF SHARE S WERE HELD AT THE COMMAND OF FUND MANAGERS ETC. AND SHOWN IN THE BOOK S OF ACCOUNTS AS INVESTMENT. THE CIT(A) NOTED THAT THE ASSESSEE HAS NOT UTILIZED ANY BORROWED FUNDS FOR THE PURPOSES OF INVESTMENT WHICH ESTABLISHED ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 5 INVESTMENT ACTIVITY. IT WAS FURTHER NOTED THAT THE RE WERE ONLY 216 TRANSACTIONS OF PURCHASE/SALE IN MERELY 65 SCRIPS W HICH WAS NOT CONSIDERED VERY HIGH. IT WAS FURTHER OBSERVED THAT MANY SHARES WERE CARRIED FORWARD FROM EARLIER YEARS WHERE ITS DECLAR ATION AS INVESTMENT WAS NOT DISPUTED IN EARLIER YEARS. THE CIT(A) ALSO NOTED THAT MAJOR INVESTMENT OF RS.24.04 CRORES WAS MADE THROUGH FUND MANAGERS AND THEREFORE, THE ASSESSEE WAS NOT ENGAGED IN ANY ORGA NIZED OR SYSTEMATIC ACTIVITY OF PURCHASE OR SALE OF SHARES BY ITSELF. IT WAS FURTHER NOTED THAT INVESTMENT IN BONDS STAND AT RS.15.24 CRORES A ND REMAINING AMOUNT OF RS.8.24 CRORES ARE INVESTED IN UNQUOTED S HARES OF FIVE COMPANIES. IN THE LIGHT OF THE AFORESAID BROAD FAC TS, THE CIT(A) CONCLUDED THE ISSUE IN FAVOUR OF THE ASSESSEE AND D IRECTED THE AO TO TREAT THE TRANSACTIONS OF PURCHASE AND SALE OF SHAR ES AS ARISING FROM INVESTMENT ACTIVITY WHICH IS SUSCEPTIBLE TO TAX UND ER THE HEAD CAPITAL GAINS. THE OPERATIVE PARA OF THE ORDER OF CIT(A) IS REPRODUCED HEREUNDER FOR READY REFERENCE: 4.1 GROUND NO.2 PERTAINS TO ACTION OF AO IN TREATI NG LONG TERM / SHORT TERM CAPITAL GAIN OR LOSS AS INCOME FROM BUSI NESS. IT IS NOTICED THAT APPELLANT IS AN INVESTMENT COMPANY AND DURING THE YEAR UNDER CONSIDERATION THE TOTAL INVESTMENTS AS ON 31. 03.2012 ARE SHOWN AT RS. 47.55 CRORES. THE INVESTMENT IN THE IM MEDIATE PRECEDING YEAR WAS RS. 60.81 CRORES. THESE INVESTME NTS ARE IN THE FORM OF SHARES HELD WITH FUND MANAGERS, MUTUAL FUND HELD WITH FUND MANAGERS, FULLY PAID UP BONDS AND INVESTMENTS IN UN QUOTED SHARES. UNDISPUTEDLY, NONE OF THE INVESTMENTS HAVE BEEN SHOWN AS STOCK- IN-TRADE IN THE BOOKS OF ACCOUNTS AND BALANCE SHEET . THIS FACT HAS ALSO NOT BEEN DISPUTED BY THE AO. 4.1.1 ON PERUSAL OF THE BALANCE SHEET, IT IS ALSO NOTICED THAT THE APPELLANT HAS NOT UTILIZED ANY BORROWED FUNDS FOR T HE PURPOSES OF INVESTMENTS IN SHARES / MUTUAL FUND. THIS IS CLEARL Y ESTABLISHED FROM THE FACT THAT THE AO HAS NOT DISALLOWED ANY PART OF THE INTEREST U/S 14A. THE FINDINGS RECORDED BY THE AO HERSELF IN THE ASSESSMENT ORDER REVEALS THAT THERE WERE ONLY 216 TRANSACTIONS OF PU RCHASE / SALE IN 65 SCRIPS. LOOKING TO THE NUMBER OF TRANSACTIONS AS WELL AS SCRIPS DEALT WITH, IN MY CONSIDERED VIEW, THE VOLUME AS WE LL AS FREQUENCY OF THE TRANSACTIONS WERE NOT VERY HIGH. IT MAY ALSO BE NOTED THAT THE INVESTMENTS ARE CARRIED FORWARD FROM THE EARLIER YE ARS ALSO AND THERE IS NO FINDING OF A.O. THAT THE ACTIVITY OF TH E APPELLANT WAS ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 6 TREATED AS BUSINESS IN ANY OF THE EARLIER YEARS, IT IS ALSO VERY RELEVANT TO MENTION THAT THE MAJOR INVESTMENT OF RS . 24.04 CRORES WAS MADE THROUGH THE FUND MANAGERS AND HENCE THE APPELL ANT WAS NOT ENGAGED IN ANY ORGANIZED AND SYSTEMATIC ACTIVITY OF PURCHASE AND SALES OF THE SHARES BY ITSELF. ANOTHER SUBSTANTIAL PART OF RS. 15.24 CRORES WAS INVESTMENTS IN THE BONDS. BALANCE AMOUNT OF RS. 8.24 CROES WAS INVESTED IN UNQUOTED SHARES OF 5 COMPANIE S AND JEWELLERY. THEREFORE, KEEPING IN VIEW OF THE ABOVE MENTIONED F ACTS AND CIRCUMSTANCES OF THE CASE, THUS IT EMERGES THAT APP ELLANT COMPANY WAS NOT ENGAGED IN ANY BUSINESS ACTIVITY OF PURCHAS E AND SALE OF THE SHARES. THIS VIEW GETS SUPPORT FROM THE DECISION OF HON'BLE SUPREME COURT IN THE CASE OF CIT VS ASSOCIATED INDUSTRIAL DEVELOPMENT CO.(P) LTD (1971) 82 ITR 586. EVEN THE CBDT CIRCULAR NO. 4/2007 ALSO SUPPORTS THE CASE OF THE APPELLANT BECAUSE THE SHARES / MUTUAL FUNDS WERE SHOWN AS INVESTMENT IN THE BOOKS OF ACCO UNT AND THE INVESTMENT WAS MADE OUT OF OWN FUNDS. ACCORDINGLY, THE AO IS DIRECTED TO TREAT THE TRANSACTIONS OF PURCHASE AND SALE OF THE SHARES / MUTUAL FUNDS / BONDS AS INVESTMENTS ONLY. THUS APPE LLANT SUCCEEDS IN RESPECT OF GROUND NO.2. 4. AGGRIEVED BY THE RELIEF GRANTED BY CIT(A), THE R EVENUE HAS PREFERRED APPEAL BEFORE THE TRIBUNAL. 4.1 THE LEARNED DR FOR THE REVENUE STRONGLY CONTEST ED THE PROCESS OF REASONING ADOPTED BY THE CIT(A) WHILE GRANTING R ELIEF TO THE ASSESSEE. THE LEARNED DR FOR THE REVENUE RELIED UP ON THE ORDER OF THE AO AND IN FURTHERANCE SUBMITTED THAT THE ASSESSEE I S A REGISTERED NBFC COMPANY AND THE MAIN OBJECT OF THE ASSESSEE IS TO DEPLOY FUNDS IN SHARES AND SECURITIES AND TO LEND ADVANCES AS CA N BE SEEN FROM THE BALANCE SHEET ITSELF. THE MAJOR SOURCE OF REVENUE IS FROM THESE ACTIVITIES. IT WAS POINTED OUT THAT ASSESSEE HAS I NCURRED INVESTMENT AND CONSULTANCY FEES TO THE TUNE OF RS.36.93 LAKHS IN THIS YEAR AND RS.45.41 LAKHS IN THE PRECEDING YEAR TO SEEK PROFES SIONAL HELP TO ENHANCE ITS PROFITABILITY. A VERY AMOUNT OF SECURI TY TRANSACTION TAX PAID (RS.2.38 LAKHS FOR AY 2012-13; RS.5.39 LAKHS A Y 2011-12) WOULD ALSO INDICATE FREQUENT CHURNING OF THE PORTFO LIO. IT WAS FURTHER STATED THAT CUSTODY CHARGES INCURRED OF RS.54,831/- (AY 2011-12 RS.1,36,277/-) WOULD FURTHER INDICATE THAT THE SHAR E PORTFOLIO WAS IN ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 7 THE CONTROL AND COMMAND OF THE PROFESSIONALS WHO AR E DISPOSED TO MAXIMIZE THE PROFITS AND ENCASH EVERY MOVEMENT AND POSSIBILITY IN THE STOCK MARKET. SUCH MINDSET UNDERLINES THE IMPL ICIT INTENTION OF THE ASSESSEE TO MAXIMIZE PROFIT AT THE SHORTEST POS SIBLE PERIOD AND THUS COMPARABLE WITH BUSINESS ACTIVITY. THE LEARNED DR NEXT SUBMITTED THAT THE NUMBER OF TRANSACTIONS AND NUMBER OF SCRIP S INVOLVED AS WELL AS RESULTANT PROFITS / LOSS ACTUALLY SHOW AN ACTIVI TY UNDERTAKEN IN REGULAR COURSE. THE LEARNED DR ACCORDINGLY SUBMITT ED THAT THE CIT(A) HAS INCORRECTLY IGNORED THE APPARENT COMMERCIAL MOT IVE IN THE TRANSACTIONS OF PURCHASE AND SALE AND HAS WRONGLY C ONCLUDED THE ISSUE IN A SUMMARY MANNER UNMINDFUL OF THE FREQUENCY AND MAGNITUDE AND ALSO THE TESTS EVOLVED BY THE JUDICIAL PRECEDENTS A ND THE CAUTION ADMINISTERED BY THE CBDT CIRCULAR. THE LEARNED DR THUS VEHEMENTLY SUBMITTED THAT IN VIEW OF THE OBJECTS OF ASSESSEE, FINANCIAL STRUCTURE, REGULARITY AND CONTINUITY IN THE TRANSACTIONS, THE DECLARED INTENTION OF THE ASSESSEE CANNOT BE READILY ACCEPTED AND ACCORDI NGLY URGED FOR SETTING ASIDE THE ORDER OF THE CIT(A) AND RESTORATI ON OF THE ORDER OF THE AO IN THIS REGARD. 4.2 THE LEARNED AR FOR THE ASSESSEE, ON THE OTHER H AND, RELIED UPON THE ORDER OF THE CIT(A). THE LEARNED AR FOR THE AS SESSEE POINTED OUT THAT THE INTENTION OF THE ASSESSEE IS REQUIRED TO B E GAUGED AT THE TIME OF PURCHASE AS RECORDED IN THE BOOKS OF ACCOUNTS. THE LEARNED AR SUBMITTED THAT NO BORROWED FUNDS HAVE BEEN UTILIZED AND THEREFORE, THE ASSESSEE WAS IN NO HURRY TO RESALE THE SHARES AND T AKE BUSINESS RISKS. THE LEARNED AR THEREAFTER SUBMITTED THAT THE FREQUE NCY, MAGNITUDE AND REGULARITY OF TRANSACTIONS ARE TO BE SEEN IN TH E CONTEXT OF A GIVEN CASE. THE ASSESSEE IN THE INSTANT CASE HAS ENTERED INTO MEAGER VALUE OF TRANSACTIONS OF LOW MAGNITUDE AND FREQUENCY. TH E LEARNED AR ALSO POINTED OUT THAT THE ASSESSEE HAS ENGAGED DEPLOYED ITS SURPLUS FUNDS WITH THE HELP OF THE PROFESSIONALS (PMS) TO ASSIST THE ASSESSEE IN ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 8 WEALTH CREATION. THE LEARNED AR NEXT SUBMITTED THA T THE REVENUE ITSELF HAS ACCEPTED THE TRANSACTIONS IN SHARES UNDE R THE HEAD CAPITAL GAINS AS DECLARED WITHOUT ANY INTERFERENCE IN THE EARLIER AY 2010-11 AND THEREFORE, DOCTRINE OF CONSISTENCY SHOULD APPLY WHILE ADJUDICATING THE ISSUE. ON BEING ASKED BY THE BENCH, THE LEANED AR FOR THE ASSESSEE REFERRED TO MAIN OBJECTS OF THE COMPANY AS RECORDED IN ITS MEMORANDUM OF ASSOCIATION (MOA) WHEREBY THE ASSESSE E IS PERMITTED TO CARRY ON THE BUSINESS OF INVESTMENT COMPANY WHIC H IS CAPABLE OF MAKING INVESTMENT IN SHARES, BONDS ETC. THE LEARNE D AR THUS SUBMITTED THAT AS PER MOA ALSO, THE ASSESSEE IS ONL Y AN INVESTOR. ON BEING FURTHER ASKED BY THE BENCH, THE LEARNED AR FO R THE ASSESSEE CLARIFIED THAT SHARES ARE HELD IN THE DEMAT ACCOUNT OF THE ASSESSEE COMPANY AND THE PORTFOLIO WAS NOT SURRENDERED IN CU STODY OF PMS PROFESSIONALS AND CONTINUED TO REMAIN WITH ASSESSEE . REFERRING TO CBDT CIRCULAR NO.4/2007 DATED 15.06.2007, THE LEARN ED AR FOR THE ASSESSEE SUBMITTED THAT THE ASSESSEE IS ALSO ENTITL ED TO HOLD TWO TYPES OF PORT FOLIOS SIMULTANEOUSLY I.E. BOTH BY WAY OF I NVESTMENT (CAPITAL ASSET) AS WELL AS STOCK-IN-TRADE (TRADING ASSET). THE ASSESSEE IN THE INSTANT CASE WAS THEREFORE ENTITLED TO HOLD THE SHA RES AS CAPITAL INVESTMENT. THE LEARNED AR ACCORDINGLY SUBMITTED T HAT THE AO HAS WRONGLY CONSTRUED THE FACTS AND CIRCUMSTANCES OF TH E CASE WHICH WAS SET RIGHT BY THE CIT(A) IN THE FIRST APPEAL. THE L EARNED AR THUS SUBMITTED THAT NO INTERFERENCE WITH THE ORDER OF TH E CIT(A) IS CALLED FOR. 6. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND PER USED THE MATERIAL AVAILABLE ON RECORD AS WELL AS THE ORDERS OF THE REVENUE AUTHORITIES. THE ASSESSEE HAS INDULGED IN PURCHASE AND SALE OF SHARES WHICH HAS RESULTED IN CERTAIN GAINS/LOSS. THE TRAN SACTIONS OF IMPUGNED PURCHASE AND SALE GIVING RISE TO THE PROFITS / LOSS WAS REPORTED BY THE ASSESSEE UNDER THE HEAD CAPITAL GAINS WHICH IS CH ARGEABLE TO TAX ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 9 UNDER S. 45 OF THE ACT. THE AO, ON THE OTHER HAND, HAS ALTERED THE CHARACTER OF INCOME DECLARED UNDER THE HEAD CAPITA L GAINS AND TREATED THE GAINS/LOSS ARISING FROM SUCH ACTIVITY O F PURCHASE AND SALE AS ADVENTURE IN THE NATURE OF TRADE TAXABLE UNDER THE HEAD BUSINESS INCOME UNDER S.28 R.W.S. 2(13) OF THE ACT. THE AF ORESAID ATTEMPT TO CHANGE IN THE CHARACTER OF INCOME BY THE AO WAS CHA LLENGED IN THE FIRST APPEAL BY THE ASSESSEE. THE CIT(A) ADJUDICAT ED THE ISSUE IN FAVOUR OF THE ASSESSEE AND SET ASIDE THE ACTION OF THE AO. THE REVENUE HAS CHALLENGED THE ACTION OF THE CIT(A) ON THE PREMISE THAT ACQUISITION OF SHARES ARE ESSENTIALLY TRADING ACTIV ITY WITH AN OBJECT TO RESALE AT PROFIT AT SHORTEST POSSIBLE TIME AKIN TO A BUSINESS VENTURE. IT IS THE CASE OF THE REVENUE THAT THE TRANSACTIONS OF PURCHASE AND SALE IN SHARES ETC. ARE TRADING IN NATURE AND THUS CHARGEAB LE TO TAX AT NORMAL RATE UNDER THE HEAD BUSINESS INCOME. IT IS FURTHE R CASE OF THE REVENUE THAT THE FREQUENCY, MAGNITUDE AND REGULARIT Y IN CARRYING OUT THE PURCHASE AND SALE INVOLVING LARGE NUMBER OF TRA NSACTIONS AND SCRIPS LENDS CREDENCE TO THE IMPRESSION OF AN ADVEN TURE IN THE NATURE OF TRADE REFERRED TO IN SECTION 2(13) OF THE ACT AN D THEREFORE IT IS AKIN TO THE BUSINESS GIVING RISE TO ITS TAXABILITY UNDER S.28 OF THE ACT. 6.1 BEFORE WE PROCEED FURTHER, IT WOULD BE PERTINEN T TO NOTE IN THE CONTEXT THAT THERE IS A QUALITATIVE DIFFERENCE BETW EEN PROFITS ARISING FROM SALE OF CAPITAL ASSETS AND THAT OF TRADING ASS ETS UNDER THE ACT. SECTION 2(13) OF THE ACT DEFINING BUSINESS AND SE CTION 2(14) DEFINING CAPITAL ASSETS OPERATE IN MUTUAL EXCLUSI ON. TO PUT IT DIFFERENTLY, CAPITAL ASSETS (NON-CURRENT INVESTMENT ) AND TRADING ASSETS (STOCK-IN-TRADE OR CURRENT INVESTMENT) ARE TREATED DIFFERENTLY UNDER THE SCHEME OF THE ACT. THEY CANNOT BE COMPARED ON PAR WITH WHICH OTHER AS SIMILAR CLASS OF ASSET. NOTICEABLY, SECTION 2(1 3) OF THE ACT DEFINES THE EXPRESSION BUSINESS IN AN INCLUSIVE MANNER AN D EVEN EMBRACES ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 10 ANY ADVENTURE IN THE NATURE OF TRADE OR COMMERCE ET C. WITHIN ITS SWEEP. SECTION 2(13) READS AS UNDER: BUSINESS, INCLUDES ANY TRADE, COMMERCE OR MANUFACT URE OR ANY ADVENTURE OR CONCERN IN THE NATURE OF TRADE, COMMER CE OR MANUFACTURE. 6.2 WE NOW PROCEED TO DEAL WITH THE OBJECTIVE FACTS OF THE PRESENT CASE IN APPEAL TO DETERMINE WHETHER THE IMPUGNED TR ANSACTION OF PURCHASE AND SALE IN SHARES BEAR THE TRAPPINGS OF A DVENTURE IN THE NATURE OF TRADE OR COMMERCE ETC. OR NOT. IN THIS C ONTEXT, WE NOTE AT THE BEGINNING THAT ASSESSEE IS ENGAGED IN INVESTMENT IN SHARES/STOCKS AND OTHER MARKETABLE SECURITIES AS PER ITS MOA AND IS R EGISTERED AS NBFC. A PERUSAL OF THE MAIN OBJECTS OF THE COMPANY DOES N OT INDICATE ANYTHING WHICH MAY PREVENT THE ASSESSEE TO PURCHASE AND SALE SHARES IN TERMS OF FREQUENCY OR REGULARITY. THEREFORE, TH E OBJECTS OF THE ASSESSEE COMPANY DO NOT INDICATE INTENTIONS TOWARDS INVESTMENT OR TRADING PER SE FOR THE PURPOSES OF INCOME TAX ACT. IT SIMPLY ENAB LES THE ASSESSEE TO ENGAGE ITSELF IN INVESTMENT ACTIV ITY WHICH TERM IS GENERAL CONNOTATION IN BUSINESS PARLANCE. SECONDLY , WHEN THE MAIN OBJECT OF THE COMPANY IS TO ACQUIRE SHARES AND EARN INCOME THEREFROM, THE INCOME RECEIVED THEREON IS LIABLE TO BE TAXED A S BUSINESS INCOME IN THE LIGHT OF THE DECISION OF THE HONBLE SUPREME COURT IN THE CASE OF CHENNAI PROPERTIES & INVESTMENT LTD. VS. CIT (20 15) 373 ITR 673 (SC). THEREFORE, WHERE THE PRE-DOMINANT OBJECT OF THE ASSESSEE IS TO BUY, INVEST OR ACQUIRE AND HOLD SHARES ETC. INTENTI ON OF THE ASSESSEE WOULD ORDINARILY BE TO ENJOY PROFITS IN THE COURSE OF BUSINESS FROM THIS ACTIVITY. MOVING FURTHER, IT IS THE CASE OF THE AS SESSEE THAT IN ORDER TO ATTAIN ITS PRE-DOMINANT OBJECTS, THE ASSESSEE COMPA NY HAS ENTRUSTED THIS TASK TO THE PMS WHO ARE STATED TO BE ORGANIZAT IONS RUN BY THE PROFESSIONALLY COMPETENT PERSONS WHO UNDERSTAND THE SCIENCE OF EVER- FLUCTUATING STOCK MARKET. CONTEXTUALLY, IT IS CLAI MED BY THE ASSESSEE BEFORE THE CIT(A) [PAGE NO.21 OF THE ORDER OF THE C IT(A)] THAT HIGH ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 11 FREQUENCY IN TRANSACTION IS NOTHING BUT OUTCOME OF PRUDENT INVESTMENT DECISION TAKEN BY THE PMS ON BEHALF OF THE ASSESSEE WITH A VIEW TO SEIZE FAVOURABLE MARKET MOVEMENT. THE ENGAGEMENT OF THE PROFESSIONALS KEEPING CONTINUOUS WATCH ON THE PORTF OLIO OF AN INVESTOR ALSO UNFOLDS THE INTENTION THAT SUCH INVESTOR SEEKS TO OBLITERATE THE INFLUENCE OF SHORT TERM FLUCTUATIONS TOO WHICH ORDI NARILY A TRADER DOES, WHO IS GUIDED BY THESE SHORT TERM CONSIDERATIONS. THIS PECULIAR ASPECT IN THE CASE OF THE ASSESSEE GIVES A CLUE THAT ASSES SEE IS ENGAGED IN THE BUSINESS ACTIVITY OR SOMETHING AKIN THERETO PARTICU LARLY WHEN READ ALONGSIDE THE OBJECT CLAUSE. THE INTENTION OF INVE STMENT QUA TRADING IS ORDINARILY DIFFERENTIATED BY TIME HORIZON. THE REPEATED CHURNING OF PORTFOLIO BY A PROFESSIONAL NATURALLY ERODES THE EL EMENT OF LONGEVITY IN SUCH ACT. THE INVESTMENT AS A CAPITAL ASSET IS AN ACT OF FAITH IN DISTINCTION TO RISK BASED APPROACH ADOPTED BY A TRA DER. THE ASSESSEE HAS REGULARLY BOOKED LOSSES AT SHORT INTERVALS WHIC H UNDERSCORES A RISK BASED APPROACH. 6.3 WE REQUIRE TO NOTE HERE THAT DEFINITION OF BUSI NESS UNDER S.2(13) OF THE ACT IS QUITE ELASTIC AND EVEN INCLUDES AN AD VENTURE WHICH IS IN THE NATURE OF TRADE THOUGH STRICTLY SUCH TRANSACTIO N MAY NOT BEAR ALL THE TRAPPINGS OF A TRADE OR COMMERCE. IN APPROPRIA TE CIRCUMSTANCES EVEN A SOLITARY TRANSACTION MAY FALL WITHIN THE SWE EP OF ADVENTURE IN THE NATURE OF TRADE AS HELD IN THE CASE OF DALMIA CEMENT LTD. VS. CIT 4 SCC 614 AND MANY OTHER JUDGMENTS. AS ADMITTED ON BEHALF OF THE ASSESSEE AS PER ITS SUBMISSION BEFORE THE CIT(A), O BJECT OF PMS WAS TO MINIMIZE THE MARKET RISK. IT IS MANIFEST THAT P URCHASE AND SALES ARE NOT OCCASIONED IN THE CASE OF THE ASSESSEE BY ANY S PECIAL NECESSITY OF TIME BUT TO MAXIMIZE THE PROFITS. 6.4 AS NOTED BY THE AO, A LARGE NUMBER OF SCRIPS WE RE TRADED WHICH ARE ABOUT 65 ACROSS THE PMS ENGAGED. IT IS FURTHER NOTED BY THE AO ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 12 THAT PERIOD OF HOLDING AT TIMES AS SHORT AS FEW DAY S IN CERTAIN TRANSACTIONS. THE ASSESSEE HAS REPORTED NEARLY 216 TRANSACTIONS OVER 65 SCRIPS DURING THE YEAR AND SIMILAR TRANSACTIONS IN THE EARLIER YEAR. THEREFORE, THE FREQUENCY AND THE REGULARITY ALSO LE AN AGAINST THE ASSESSEE. THE TREATMENT IN THE BOOKS OF ACCOUNTS I N A PARTICULAR MANNER MAY BE AN IMPORTANT INDICATION OF THE INTENT ION BUT IS NOT NECESSARILY CONCLUSIVE. THE INTENTION OF THE ASSES SEE IS REQUIRED TO BE GAUGED FROM THE FACTS SEEN HOLISTICALLY. AGREEABLY , THE INVOLVEMENT OF BORROWED FUNDS IS ONE OF THE IMPORTANT TESTS TO DETERMINE THE INTENTION BUT IS NOT INDEFEASIBLE IN ALL CIRCUMSTAN CES. THE PRESENCE OR ABSENCE OF BORROWED FUNDS PER SE WOULD NOT DEFINE THE CHARACTER OF TRANSACTION IN A PARTICULAR MANNER. 6.5 THE CONTINUITY IN THE NATURE OF TRANSACTIONS IS REQUIRED TO BE SEEN OVER A PERIOD OF TIME. A SIMILAR PATTERN YEAR AFTER YEAR MAY COMPEL ONE TO THINK THE BEHAVIOR OF AN INVESTOR IN A LOGICAL AND RATIONAL MANNER, WHILE THE TRANSACTIONS MIGHT HAVE BEEN ACCEPTED AS INVESTMENT IN THE PRECEDING YEAR IN A SUMMARY MANNE R. THERE COULD BE NO RES JUDICATA IN SUCH CASES IN THE LIGHT OF CONTINUITY OF THE SAM E BEHAVIOR IN THE SUBSEQUENT ASSESSMENT YEAR. THE CO NTINUITY IN THE PURCHASE AND SALE OF SHARES BEING AN IMPORTANT TEST TO DETERMINE THE CHARACTER OF TRANSACTION, THE PECULIAR FACTS DO NOT PERMIT US TO ACCEPT THE PLEA OF DOCTRINE OF CONSISTENCY IN THE PRESENT CASE. THE CIT(A) IN OUR VIEW HAS SEEN FACTS OF REGULARITY IN PURCHASE A ND SALE OF SHARES FOR SEVERAL YEARS IN A LIGHT HEARTED MANNER AND HAS IGN ORED THE CLEAR COMMERCIAL MOTIVE SUBSISTING IN THE FACTS OF THE CA SE. THE ASSESSEE HAS PAID SUBSTANTIAL PROFESSIONAL FEES IN ITS ENDEA VOR TO CORNER GAINS FROM MARKET FLUCTUATIONS WHICH FACT ALSO HAS NOT BE EN ENVISIONED IN PERSPECTIVE WHILE REVERSING THE ACTION OF THE AO. THE CIT(A) WHILE MAKING REFERENCE TO THE CIRCULAR OF THE CBDT HAS SH UNNED THE CAUTION ADMINISTERED BY THE CIRCULAR I.E. THERE CANNOT BE A NY STRAIGHT JACKET ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 13 FORMULA AND THERE SHOULD NOT BE A SWEEPING CONCLUSI ON BUT A CASE TO CASE TEST OR APPROACH SHOULD BE ADOPTED. 6.6 THE ISSUE IS ESSENTIALLY FACTUAL AND IS GOVERNE D BY FACTS OF EACH CASE. JUDICIAL UTTERANCES MADE IN THE SETTING OF T HE FACTS OF A CASE WOULD NOT THUS APPLY UNLESS IT IS SHOWN THAT THE FA CTS ARE IDENTICAL. WE ARE THUS NOT REQUIRED TO DELINEATE THE NICETY OF LAW DE HORS THE FACTS IN SUCH A CASE. THE CIT(A) IN OUR VIEW HAS A PPLIED THE LEGAL PRINCIPLES IN AN ABSTRACT MANNER DE HORS THE PECULIAR FACTS OF THE CASE AND THEREFORE, CANNOT BE APPROVED. WE ACCORDINGLY SET ASIDE THE ORDER OF THE CIT(A) AND RESTORE THE ACTION OF THE AO. 6.7 IN THE RESULT, APPEAL OF THE REVENUE FOR AY 201 2-13 IS ALLOWED. 7. THE GROUNDS OF APPEAL RAISED BY THE ASSESSEE IN ITA NO. 1158/AHD/2016 FOR AY 2012-13 READ AS UNDER: 1. THE ORDER PASSED BY THE LD. CIT(A) IS BAD IN LA W, CONTRARY TO LEGAL PRONOUNCEMENTS AND SAME BE QUASHED. THE ADDITION IS UNWARRANTED AND SAME BE DELETED NOW. 2. THE LD. CIT(A) HAS ERRED IN UPHOLDING THE DISALL OWANCE OF RS.66,41,156/- MADE BY THE AO U/S 14A OF THE ACT R. W.R 8D. THE LD. CIT(A) HAS ERRED IN LAW IN UPHOLDING THE DISALLOWAN CES U/S 14A WHICH IS IN EXCESS OF THE EXPENSES DEBITED TO PROFI T & LOSS ACCOUNT. MECHANCIAL APPLICATION OF SECTION 14A BEING HIGHER AMOUNT THAN EXPENDITURE ATTRIBUTABLE FOR EARNING TAX FREE INCOM E IS UNJUST. IT IS PRAY THAT DISALLOWANCE U/S 14A SHOULD BE RESTRICTED TO THE EXTENT OF RS.39,32,186/- BEING CLAIMED AS EXPENSE AND EXCESS DISALLOWANCE OF RS.27,08,970 OUGHT TO BE DELETED. 8. AS PER GROUNDS OF APPEAL RAISED BY THE ASSESSEE IN ITS CROSS APPEAL, THE ASSESSEE HAS CHALLENGED THE DISALLOWANC E OF RS.66,41,156/- MADE BY THE AO UNDER S.14A OF THE ACT. ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 14 9. THE LEARNED AR FOR THE ASSESSEE AT THE OUTSET SU BMITTED THAT THE AO HAS CARRIED OUT DISALLOWANCES OF RS.66,41,156/- UNDER S.14A R.W. RULE 8D OF THE IT RULES WHEREAS THE ALLOCABLE EXPEN SES IN THE FORM OF PMS CHARGES, CUSTODY CHARGES, STT AND OTHER ALLOCAB LE EXPENSES ATTRIBUTABLE TO SHARES STANDS AT RS.36,93,385/- ONL Y. IT WAS SUBMITTED THAT THE DISALLOWANCE COMPUTED UNDER RULE 8D CANNOT EXCEED THE TOTAL ALLOCABLE EXPENDITURE (DIRECT OR INDIRECT) DEBITED TO P&L ACCOUNT AND THEREFORE EXCESS DISALLOWANCE TO THE EXTENT OF RS.2 7,08,970/- IS TOTALLY UNDER OBSERVATION IN THE PECULIAR FACTS OF THE CASE . 10. WE FIND THAT THE CIT(A) HAS SWEEPINGLY DISMISSE D THE CASE OF THE ASSESSEE WITHOUT DEALING WITH THE POINT OBJECTI VELY. IN THE ABSENCE OF ANY ALLOCABLE EXPENSES REMOTELY CONNECTE D TO THE INVESTMENT ACTIVITY, NO DISALLOWANCE IS CALLED FOR IN EXCESS OF ACTUAL EXPENDITURE. WE THUS FIND MERIT IN THE PLEA OF THE ASSESSEE. 11. IN THE RESULT, APPEAL OF THE ASSESSEE FOR AY 20 12-13 IS ALLOWED. 12. THE GROUNDS OF APPEAL RAISED BY THE REVENUE IN ITA NO. 1614/AHD/2016 FOR AY 2011-12 READ AS UNDER: 1. ON THE FACTS AND CIRCUMSTANCES OF THE CASE AND IN LAW, THE LD. CIT(A) HAS ERRED IN LAW AS WELL AS FACTS AND CIRCUM STANCES OF THE CASE BY TREATING INCOME EARNED FROM THE TRANSAC TIONS OF SHARES AND SECURITIES AS LONG TERM/SHORT CAPITAL GA IN INSTEAD OF BUSINESS INCOME BY IGNORING THE FACTS THAT THERE CA NNOT BE ANY FIXED OR RIGID PRINCIPLE IN RESPECT OF SHARES AND S ECURITIES THAT IF IT WAS HELD AS INVESTMENT IN PRECEDING YEAR, IT MUST ALWAYS BE INVESTMENT IN THE FOLLOWING YEARS. IN OTHER WOR DS THE ASSESSEE CAN MAKE INVESTMENT IN A YEAR AND CAN ENTE R INTO TRADING IN SUBSEQUENT YEAR. 13. THE CONTROVERSY RAISED BY THE REVENUE IN AY 201 1-12 IS IDENTICAL TO AY 2012-13. THE AO HAS DISPUTED THE A CTION OF THE CIT(A) IN ACCEPTING THE CLAIM OF THE ASSESSEE TOWAR DS PROFIT ARISING ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 15 FROM SALE OF SHARES TO BE ATTRIBUTABLE UNDER THE HE AD CAPITAL GAINS AS AGAINST THE STAND OF THE REVENUE THAT IT IS CHARGEA BLE UNDER THE HEAD BUSINESS INCOME. 14. WE NOTE THAT THE FREQUENCY, MAGNITUDE AND CONTI NUITY IN PURCHASE AND SALE OF SHARES WAS FOUND TO BE REMARKA BLY HIGH SIMILAR TO OTHER ASSESSMENT YEAR 2012-13. THE INDIRECT TRADING THROUGH PMS IS THUS OF NOT MUCH CONSEQUENCE IN THE LIGHT OF REASON ING NOTED FOR THE AY 2012-13. WE FIND MERIT IN THE PLEA OF THE REVEN UE. THE ORDER OF THE CIT(A) IS THUS SET ASIDE AND ORDER OF THE AO IS RESTORED. 15. IN THE RESULT, APPEAL OF THE REVENUE FOR AY 201 1-12 IS ALLOWED. 16. THE GROUNDS OF APPEAL RAISED BY THE ASSESSEE IN ITA NO. 1615/AHD/2016 FOR AY 2011-12 READ AS UNDER: 1. THE ORDER PASSED BY THE LD. CIT(A) IS BAD IN LA W, CONTRARY TO LEGAL PRONOUNCEMENTS AND SAME BE QUASHED. THE ADDIT ION IS UNWARRANTED AND SAME BE DELETED NOW. 2. THE LD. CIT(A) HAS ERRED IN UPHOLDING THE DISALL OWANCE OF RS.81,91,488/- MADE BY THE AO U/S 14A OF THE ACT R. W.R 8D. THE LD. CIT(A) HAS ERRED IN LAW IN UPHOLDING THE DISALLOWANCES U/S 14A WHICH IS IN EXCESS OF THE EXP ENSES DEBITED TO PROFIT & LOSS ACCOUNT. MECHANICAL APPLI CATION OF SECTION 14A BEING HIGHER AMOUNT THAN EXPENDITURE AT TRIBUTABLE FOR EARNING TAX FREE INCOME IS UNJUST. IT IS PRAY THAT DISALLOWANCE U/S 14A SHOULD BE RESTRICTED TO THE EX TENT OF RS.52,17,679/- BEING CLAIMED AS EXPENSE AND EXCESS DISALLOWANCE OF RS.29,73,809 OUGHT TO BE DELETED. 17. THE SOLITARY GRIEVANCE IN THE ASSESSEES APPEAL IS TOWARDS EXCESSIVE DISALLOWANCE UNDER S.14A IS SIMILAR TO AY 2012-13. ITA NOS. 1158/AHD/16 & 3 ORS.[TASH INVESTMENT PVT. LTD.] - 16 18. IN PARITY WITH THE REASONING ADJUDICATED FOR AY 2012-13, THE DISALLOWANCE UNDER S.14A IS RESTRICTED TO RS.52,17, 679/- AND EXCESSIVE DISALLOWANCE OF RS.29,73,809/- STANDS DEL ETED. 19. IN THE RESULT, APPEAL OF THE ASSESSEE FOR AY 2011-1 2 IS ALLOWED. 20. IN THE COMBINED RESULT, BOTH APPEALS OF THE REV ENUE AND ASSESSEE ARE ALLOWED. SD/- SD/- (MAHAVIR PRASAD) (PRADIP KUMA R KEDIA) JUDICIAL MEMBER ACCOUNTANT MEMBER AHMEDABAD: DATED 30/04/2019 TRUE COPY S. K. SINHA !'#' / COPY OF ORDER FORWARDED TO:- &. / REVENUE 2. / ASSESSEE (. )*+ , / CONCERNED CIT 4. ,- / CIT (A) /. 012 33*+4 *+#4 56) / DR, ITAT, AHMEDABAD 7. 289 : / GUARD FILE. BY ORDER / 4 /5 *+#4 56) THIS ORDER PRONOUNCED IN OPEN COURT ON 30/04/20 19