https://www.taxtmi.com/caselaws?id=175425 Profit from an isolated purchase and later resale of land bought at a court auction was not treated as an adventure in the nature of trade. The court emphasised that the department had to prove, from surrounding facts, that the transaction was entered into with the dominant intention of resale at a trading profit. The assessee's money-lending business did not by itself make every land purchase a trading transaction, and a mere possibility of future appreciation was insufficient. On the facts, the land was not shown to be trading stock, so the profit was not assessable as business income. en-us Tue, 13 Nov 1962 00:00:00 +0530 Fri, 20 Nov 2015 17:17:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=175425 Profit from an isolated purchase and later resale of land bought at a court auction was not treated as an adventure in the nature of trade. The court emphasised that the department had to prove, from surrounding facts, that the transaction was entered into with the dominant intention of resale at a trading profit. The assessee's money-lending business did not by itself make every land purchase a trading transaction, and a mere possibility of future appreciation was insufficient. On the facts, the land was not shown to be trading stock, so the profit was not assessable as business income. Case-Laws Income Tax Tue, 13 Nov 1962 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=175425