https://www.taxtmi.com/caselaws?id=26939 The High Court held that the land in question was not stock-in-trade of the assessee. The surplus arising from compensation received was deemed taxable as capital gains, not business income. The Court emphasized that the intention to treat the property as stock-in-trade should be determined by the assessee's conduct after the dissolution of the association. The Court referred to precedents establishing that property received on dissolution becomes a capital asset unless clear evidence shows it was treated as stock-in-trade. The decision favored the assessee, with costs of the reference to be paid by the Commissioner. en-us Tue, 25 Jun 1985 00:00:00 +0530 Tue, 09 Feb 2010 15:21:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=26939 The High Court held that the land in question was not stock-in-trade of the assessee. The surplus arising from compensation received was deemed taxable as capital gains, not business income. The Court emphasized that the intention to treat the property as stock-in-trade should be determined by the assessee's conduct after the dissolution of the association. The Court referred to precedents establishing that property received on dissolution becomes a capital asset unless clear evidence shows it was treated as stock-in-trade. The decision favored the assessee, with costs of the reference to be paid by the Commissioner. Case-Laws Income Tax Tue, 25 Jun 1985 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=26939