https://www.taxtmi.com/caselaws?id=174959 A company's purchase and resale of shares to obtain a dividend and tax repayment was examined by reference to the objective character of the transaction, not its fiscal motive alone. The analysis states that an absence of intention to earn an ordinary trading profit does not prevent a transaction from being trading if, viewed as actually carried out, it bears the essential features of a commercial share-dealing adventure. Tax recovery was treated as a possible consequence of such an operation, not as the defining activity. On that basis, the share transaction was regarded as an adventure in the nature of trade, and the loss claim was allowable in principle. en-us Thu, 15 Mar 1962 00:00:00 +0530 Sat, 31 Oct 2015 10:41:48 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=174959 A company's purchase and resale of shares to obtain a dividend and tax repayment was examined by reference to the objective character of the transaction, not its fiscal motive alone. The analysis states that an absence of intention to earn an ordinary trading profit does not prevent a transaction from being trading if, viewed as actually carried out, it bears the essential features of a commercial share-dealing adventure. Tax recovery was treated as a possible consequence of such an operation, not as the defining activity. On that basis, the share transaction was regarded as an adventure in the nature of trade, and the loss claim was allowable in principle. Case-Laws Income Tax Thu, 15 Mar 1962 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=174959