https://www.taxtmi.com/caselaws?id=254498 The High Court of Karnataka clarified that shares of private limited companies qualify as Long Term Capital Assets if held for 12 months for capital gains tax purposes. The court ruled in favor of the assessee, overturning the misinterpreted holding period of 36 months as Short Term Capital Gain. The court emphasized that the proviso to Section 2(42A) applies to shares in any company, not distinguishing between private, public, or listed companies. Consequently, the court granted the benefit of Long Term Capital Asset treatment and set aside the impugned orders, likely leading to the reversal of interest imposition under Sections 234A and 234B. en-us Tue, 16 Sep 2014 00:00:00 +0530 Wed, 24 Dec 2014 22:04:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=254498 The High Court of Karnataka clarified that shares of private limited companies qualify as Long Term Capital Assets if held for 12 months for capital gains tax purposes. The court ruled in favor of the assessee, overturning the misinterpreted holding period of 36 months as Short Term Capital Gain. The court emphasized that the proviso to Section 2(42A) applies to shares in any company, not distinguishing between private, public, or listed companies. Consequently, the court granted the benefit of Long Term Capital Asset treatment and set aside the impugned orders, likely leading to the reversal of interest imposition under Sections 234A and 234B. Case-Laws Income Tax Tue, 16 Sep 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=254498