Allowing the appeal of the assessee the Tribunal held that , purchase of property from a company wherein the assessee is also director cannot be assessed as profit and gain of business or profession as the transaction relating to purchase had been shown as an investment activity by assessee in its books which was accepted by the revenue , therefore, if at all there was any benefit or perquisite, it could not be said to be arising from a business or exercise of a profession by assessee and hence could not have been treated as profit and gain of business or profession. (AY. 2010-11,2012-13)
Keshavji Bhuralal Gala v. ACIT (2018) 169 ITD 23 /165 DTR 8/ 193 TTJ 227/ 63 ITR 67 (SN) (Mum) (Trib.)
S. 28(iv) : Business income – Value of any benefit or perquisites – Converted in to money or not – Purchase of property from a company wherein the assessee is also director can not be assessed as profit and gain of business or profession .