Assessee is a trust registered as Venture Capital Fund.  Assessee claimed exemption of long-term capital gains (LTCG) under section 10(38) in respect of sale of unlisted shares of a company. Assessing Officer held that assessee was not eligible for exemption as it had not paid Securities Transaction Tax (STT) at time of acquisition of shares. CIT(A) allowed the exemption. On appeal the Tribunal held that condition prescribed in clause (a) and (b) of section 10(38) were fulfilled  and assessee would be covered by exemption provided in clause (b)(i) of Notification No. SO 1789(E) dated 5-6-2017.  Therefore, even if assessee did not pay STT at time of acquisition of shares, still it was eligible for exemption under section 10(38). (AY. 2018-19)