https://www.taxtmi.com/caselaws?id=61548 The Tribunal ruled in favor of the assessee, a public sector bank, in a case concerning the assessment of short-term capital gain. The Tribunal held that since the transaction did not materialize due to the non-delivery of units, no real income accrued, and thus, the notional gain should not be taxed. It was emphasized that income tax is levied on real income, not hypothetical income. The Tribunal rejected the applicability of Section 43(5) of the IT Act, concluding that the addition of the short-term capital gain was not justified, and the appeal of the assessee was allowed. en-us Tue, 30 Aug 2005 00:00:00 +0530 Fri, 06 Jul 2012 14:13:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=61548 The Tribunal ruled in favor of the assessee, a public sector bank, in a case concerning the assessment of short-term capital gain. The Tribunal held that since the transaction did not materialize due to the non-delivery of units, no real income accrued, and thus, the notional gain should not be taxed. It was emphasized that income tax is levied on real income, not hypothetical income. The Tribunal rejected the applicability of Section 43(5) of the IT Act, concluding that the addition of the short-term capital gain was not justified, and the appeal of the assessee was allowed. Case-Laws Income Tax Tue, 30 Aug 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=61548