2013 (6) TMI 222

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....terming the underlying addition to be of debatable nature when it was not so and moreover when Hon'ble Tribunal itself had upheld taxation of short term capital gains under Section 45(4) of the Income Tax Act in the case of the assessee?" 2. We have heard learned counsel Mr. Parikh for the Revenue and examined, with his assistance, the material on record. 3. Brief facts are as under: 3.1 The assessee, who is in the business of trading in Tin Plate Circles and Strips, filed its return for the assessment year 200102. On scrutiny assessment, the income was finalized. The assessment was reopened and the same was finally determined at Rs.2.88 crores. 3.2 Assessing Officer, having noticed that one of the capital assets of the firm was....

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....als) has elaborately dealt with the said issue and has rightly concluded along the lines of Assessing Officer and levied the penalty of 100%, which could be noted from the order at CIT(Appeals). The Commissioner noted that respondent assessee was aware of the fact that by revaluation of the capital assets, capital gains had been accrued to the partners and there were two reports obtained by the assessee with the intention to reduce capital gains liability, which were both by Government approved valuer evaluating the factory building and fair market value at Rs.86.15 lakhs and 36.24 lakhs respectively. What further weighed with the Commissioner was the fact that this revaluation of the assets and the transfer to capital accounts through the ....