https://www.taxtmi.com/caselaws?id=7914 Whether a receipt from transfer of machinery was taxable as profits from an adventure in the nature of trade depended on the totality of circumstances, not on the assessee's original intention when the machinery was ordered. The facts showed that the original order for the Dandot plant was later diverted, the machinery was ultimately earmarked for Orissa Cement Ltd. after partition, an import licence was obtained in the meantime, and the plant was transferred to secure a higher price. On that sequence, the purchase and resale were interconnected, and the machinery was not treated as an indefinitely held capital investment. The receipt of Rs. 7 lakhs was therefore treated as trading profit and taxable. en-us Tue, 28 Apr 1970 00:00:00 +0530 Tue, 24 Mar 2009 16:11:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=7914 Whether a receipt from transfer of machinery was taxable as profits from an adventure in the nature of trade depended on the totality of circumstances, not on the assessee's original intention when the machinery was ordered. The facts showed that the original order for the Dandot plant was later diverted, the machinery was ultimately earmarked for Orissa Cement Ltd. after partition, an import licence was obtained in the meantime, and the plant was transferred to secure a higher price. On that sequence, the purchase and resale were interconnected, and the machinery was not treated as an indefinitely held capital investment. The receipt of Rs. 7 lakhs was therefore treated as trading profit and taxable. Case-Laws Income Tax Tue, 28 Apr 1970 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=7914