https://www.taxtmi.com/caselaws?id=49508 Surplus from the sale of shares constitutes taxable profit where the transaction, viewed as a whole, is a commercial venture structured for prompt resale rather than long-term investment. Characterisation depends on the totality of circumstances and the taxpayer's intention at acquisition. Pre-arranged sale of most shares, use of sale proceeds to complete a composite acquisition, and no intention to retain the full shareholding indicate an adventure in the nature of trade rather than capital accretion. In an appeal arising from an advisory reference, consideration remains confined to the referred question; constitutional and ancillary issues not properly included in the reference cannot be introduced at the appellate stage. en-us Wed, 12 Apr 1961 00:00:00 +0530 Fri, 29 Aug 2014 21:10:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=49508 Surplus from the sale of shares constitutes taxable profit where the transaction, viewed as a whole, is a commercial venture structured for prompt resale rather than long-term investment. Characterisation depends on the totality of circumstances and the taxpayer's intention at acquisition. Pre-arranged sale of most shares, use of sale proceeds to complete a composite acquisition, and no intention to retain the full shareholding indicate an adventure in the nature of trade rather than capital accretion. In an appeal arising from an advisory reference, consideration remains confined to the referred question; constitutional and ancillary issues not properly included in the reference cannot be introduced at the appellate stage. Case-Laws Income Tax Wed, 12 Apr 1961 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=49508