The assessee considered the redemption of preference shares including the premium  was considered as capital gains. The Assessing Officer held that the redemption of preference shares cannot be treated a transfer and held that premium on preference shares assessable as income from other sources and not as capital gains. On appeal the CIT(A) held that premium also part of  full consideration received hence assessable as capital gains. On appeal by the Revenue, the Tribunal affirmed the order of the CIT(A). Referred  Vania Silk Mills (P)Ltd v. CIT (1991)  191 ITR 647 (SC)  Anarkali Sarabhai v. CIT (1997)  224 TR 422 (SC), CIT v. Enam Securities  (P)Ltd  (2012) 345 ITR 64 (Bom.)(HC). (AY. 2011-12)