2010 (9) TMI 905

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ng intimation of granting recognition to the stock exchanges for the future - option trade. (ii) Modus oprendi of the business remains the same, (iii) Nature of income /loss does not change by issuance of notification. (3) Appellant craves leave to add / alter any grounds of appeal. Profit of future & option business for the whole year be considered as such and unabsorbed b/f loss from such business be allowed to set off to the extent of income and assessment be revised accordingly. 2. The only issue involved in this appeal is about the treatment to be given to profit earned from future and option transactions, whether to be treated as speculative transaction as against business transaction treated by the assessee. The assessee is sa....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....i) The same amounts to retrospective. iii) No intention of the legislation to withdraw benefit of set off of loss out of such trade. iv) In future & option trade, basic ingredients of speculation transaction are lacking hence of non-speculative in nature. v) Your honour's attention is invited to - a) ACIT vs. Shreegopal Purohit (2009) 33 SOT (Mum) b) P.S. Kapoor vs. ACIT (2009) SOT 587/120 TTJ 422(Jp) vi) The term "derivatives" is not included in "commodity" in the legislation. vii) No such recognition for commodity trading exchange. The ld. CIT(A) relied on the decision of the Tribunal (Special Bench) Kolkata in the case of Shree Capital Services Ltd. 121 ITD 498 for holding that transactions in future & options are speculati....