Tribunal held that the land was held for the period from December 3, 2005 to September 16, 2010 by the assessee, as legal owner of the asset. Therefore, under the definition of section 2(42A) of the Income-tax Act, 1961 the underlying asset held by the assessee was land which was held for more than 36 months and the title or treatment given by the assessee in the books of account was immaterial so far the holding period of this asset was concerned. The assessee had converted his stock-in-trade into a capital asset and sold the asset after its conversion. The gains arising therefrom were required to be taxed as long-term capital gains and not as business income. Since the assessee had reconverted the stock-in-trade into capital asset as on April 1, 2010, there was no bar in law for reconversion of the business asset into a capital asset and vice versa. Since the asset sold had been considered as capital asset in the books of account, when the capital asset was sold, the gains therefrom were assessable as long-term capital gains. Consequently, the assessee would be entitled to set off brought forward long-term capital loss of Rs. 16,40,564. The Assessing Officer was directed to allow deduction on account of indexation after verification of records.( AY.2011-12)