https://www.taxtmi.com/caselaws?id=180902 Share-sale surplus is characterised by the assessee's intention at acquisition and the surrounding indicators, including entries in the books, source of funds, frequency of transactions, holding period, valuation method and the existence of separate portfolios. Where investment shares are shown separately, funded without borrowings, supported by dividend income and held for a long period, the surplus retains the character of capital gains. Where shares are sold within a very short period, the activity may be treated as trading and the surplus taxed as business income. A taxpayer may maintain genuine separate investment and trading portfolios if the distinction is real and reflected in accounts and conduct. en-us Fri, 12 Nov 2010 00:00:00 +0530 Mon, 04 Apr 2016 14:37:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=180902 Share-sale surplus is characterised by the assessee's intention at acquisition and the surrounding indicators, including entries in the books, source of funds, frequency of transactions, holding period, valuation method and the existence of separate portfolios. Where investment shares are shown separately, funded without borrowings, supported by dividend income and held for a long period, the surplus retains the character of capital gains. Where shares are sold within a very short period, the activity may be treated as trading and the surplus taxed as business income. A taxpayer may maintain genuine separate investment and trading portfolios if the distinction is real and reflected in accounts and conduct. Case-Laws Income Tax Fri, 12 Nov 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=180902