https://www.taxtmi.com/highlights?id=78734 The ITAT considered a case where the PCIT initiated revision u/s 263 regarding capital loss claimed on the sale of a car. The question was whether a motor car used for personal purposes could be considered a capital asset. The ITAT held that the classification depends on the car's use: for personal, business, or as a collector's item. In this case, as the car was used solely for personal use, it fell under the exclusion of "personal effect" and not a capital asset. The PCIT correctly noted the car's usage and denied the capital gains/loss claim. The ITAT emphasized that incorrect legal positions warrant revision u/s 263, citing precedent. The appeal was dismissed. en-us Sat, 22 Jun 2024 08:36:28 +0530 Sat, 22 Jun 2024 08:36:28 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=78734 The ITAT considered a case where the PCIT initiated revision u/s 263 regarding capital loss claimed on the sale of a car. The question was whether a motor car used for personal purposes could be considered a capital asset. The ITAT held that the classification depends on the car's use: for personal, business, or as a collector's item. In this case, as the car was used solely for personal use, it fell under the exclusion of "personal effect" and not a capital asset. The PCIT correctly noted the car's usage and denied the capital gains/loss claim. The ITAT emphasized that incorrect legal positions warrant revision u/s 263, citing precedent. The appeal was dismissed. Highlights Income Tax Sat, 22 Jun 2024 08:36:28 +0530 https://www.taxtmi.com/highlights?id=78734