https://www.taxtmi.com/caselaws?id=11972 The court held that the conversion of shares into stock-in-trade and subsequent sale to a private limited company was a colorable device to evade capital gains tax. Despite the assessees' argument that no capital gain arose due to the market value of shares being higher than the sale price, the court found the steps taken were artificial and solely aimed at tax avoidance. The court upheld the decision that the capital gains were taxable, emphasizing the need to look beyond superficial transactions aimed at evading tax obligations. en-us Tue, 01 Oct 2002 00:00:00 +0530 Sun, 14 Feb 2010 10:49:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=11972 The court held that the conversion of shares into stock-in-trade and subsequent sale to a private limited company was a colorable device to evade capital gains tax. Despite the assessees' argument that no capital gain arose due to the market value of shares being higher than the sale price, the court found the steps taken were artificial and solely aimed at tax avoidance. The court upheld the decision that the capital gains were taxable, emphasizing the need to look beyond superficial transactions aimed at evading tax obligations. Case-Laws Income Tax Tue, 01 Oct 2002 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=11972