TaxTMI 
TaxTMI 
TaxTMI 
2016 (1) TMI 1228
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....on leading to such loss. (2) The CIT(A) has over looked the fact that the assessee being a member of MCX/NCDEX has entered into a speculative transaction through ACEL and shown loss of Rs. 35.15 lacs on the last day of the financial year without paying any margin money. 3. Ld. Departmental Representative relied on the order of the ld. Assessing Officer. 4. Ld. Counsel for the assessee, on the other hand, contends that the assessee is engaged in the business of broking and dealing in commodities. It filed the return of income admitting total income of Rs. 8,77,134/-. It admitted profit of Rs. 55,88,926/- from the trading in futures & options. Against this income from speculation, assessee had claimed speculation loss of Rs. 35,15,574/- ....
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..... 5. During the appellate proceedings the assessee furnished evidence to controvert the observations made by the A.O. Ld. CIT(A) while calling for remand report categorically stated that these evidences were admitted as additional evidence. He directed the A.O to examine the evidence and also to record the statement of Shri Bharatkumar Ishwarlal Patel u/s 131. In the remand report A.O. objected to admission of additional evidence. However, it is seen that the assessee was not asked to furnish these evidences during the course of assessment proceedings and therefore the assessee could not furnished the same. While calling for the remand report, ld. CIT(A) admitted additional evidences and observed that these evidences were germane to adjudi....
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....ns were genuinely done or the broker has issued bills for loss only. You are directed to examine the following and also obtain photo copy of the same and forward the same alongwith remand report. (1) Copy of order book from the broker for the period of transactions done on behalf of the assessee. (2) Sauda book and Sauda block for the relevant period showing the transactions done on behalf of the assessee. (3) The name and address of the counter party to the transactions done on behalf of the appellant (4) The aforesaid broker should be called u/s 131 of IT.Act alongwith aforesaid documents in original and if necessary the statement of the broker should be recorded to elicit to the facts of appellant's claim of loss. You are d....
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....therefore appellant had carried out transactions in castor through ACEL. In response to the notice u/s 133(6) ACEL confirmed the transactions vide its letter dtd. 18/06/2012. It was stated further in the said letter that ACEL started online transactions from 27/10/1010. In the instant case the purchase and sale slips contain the details of date and time, though they were filled in manually. As contended by the learned A.R., the requirement of time stamped receipts u/s 43(5)(d) is when the speculation income/loss is claimed as business income/loss. In the instant case appellant claimed speculation loss and not business loss. The observations of the A.O. in the remand report are beside the point and do not controvert the explanation and evide....