Matter remanded to the Tribunal to examine the evidence on record to determine whether or not trading in shares is the principal business of the assessee. If it is the principal business, the Explanation to section 73 will apply and the loss arising from such trading activities will be eligible for set off and carry forward as per section 71 and 72 of the Act. Matter remanded to the Tribunal. (ITA No. 840 of 2008 dt. 24-04-2019) (AY. 2004-05)
Shankar Sales Promotion (P) Ltd. v. CIT (2019) 418 ITR 400/ 178 DTR 1 / 308 CTR 640(Cal.)(HC)
S. 73 : Losses in speculation business–Explanation-Whether trading in shares is the principal business of the assessee is a mixed question of facts and law-Matter remanded. [S. 71, 72, 254(1)]