Court confirms shares as investments, not stock-in-trade, dismissing appeal under section 260A.

The High Court upheld the decision of the Tribunal and CIT(A) in a case involving the treatment of a sum as long term capital gain instead of business income for the assessment year 1992-93. The court found that the shares were held as investments based on separate account maintenance, lack of evidence of treating shares as stock-in-trade in previous years, and proper tax compliance. As a result, the appeal under section 260A of the Income Tax Act was dismissed.

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Issues involved: Appeal u/s 260A of Income Tax Act against ITAT judgment regarding treatment of sum as business income or long term capital gain for assessment year 1992-93.

Summary:
1. The Assessing Officer treated a sum as business income instead of long term capital gain based on lack of separate account maintenance and nature of shares traded.

2. The CIT(A) directed to treat the sum as long term capital gain considering the history of share transactions, separate account maintenance, and lack of evidence of conversion into stock-in-trade.

3. The Tribunal upheld CIT(A)'s decision, noting separate account maintenance for shares held as stock-in-trade, no evidence of treating shares as stock-in-trade in earlier years, and proper tax compliance.

4. High Court found no interference needed as Tribunal and CIT(A) established the shares were held as investment and not treated as stock-in-trade in previous years, dismissing the appeal.

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