https://www.taxtmi.com/caselaws?id=2087 Share transactions settled without actual delivery fall within the statutory definition of a speculative transaction under section 43(5) of the Income-tax Act, 1961. The analysis links section 43(5) with Explanation 2 to section 28 and section 73, and states that where shares are bought and resold on a principal-to-principal basis to the same counterparty with only the price difference settled, the resulting loss is treated as speculation loss. The stated legal position is that an alleged initial intention not to settle by differences does not override the statutory scheme, so deduction is disallowed. en-us Tue, 21 Aug 2007 00:00:00 +0530 Fri, 01 Aug 2008 19:05:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=2087 Share transactions settled without actual delivery fall within the statutory definition of a speculative transaction under section 43(5) of the Income-tax Act, 1961. The analysis links section 43(5) with Explanation 2 to section 28 and section 73, and states that where shares are bought and resold on a principal-to-principal basis to the same counterparty with only the price difference settled, the resulting loss is treated as speculation loss. The stated legal position is that an alleged initial intention not to settle by differences does not override the statutory scheme, so deduction is disallowed. Case-Laws Income Tax Tue, 21 Aug 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=2087