2018 (10) TMI 1505

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....nue has filed a memo dated 05.9.2018 ie. today reporting about the demise of the sole respondent/assessee and in his place, he seeks to implead his son as necessary contesting respondent. 3. The memo filed by the Revenue is placed on record and the legal heir of the deceased assessee is impleaded as the second respondent in this appeal. 4. The appeal has been admitted on 21.8.2008, on the following substantial question of law:- "Whether on the facts and in the circumstances of the case, the Tribunal was right in holding that the loss sustained in business can be set off against betting and gambling income; and only the net income is to be taxed under Section 115-BB?" 5. It is seen that an identical question of law, for the....

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....rses, would fall under Section 115BB of the Act. In view of the specific provision contained in Section 115BB of the Act under Chapter XII of the Act, which provides for determination of tax in certain special cases, the special rate of tax is applicable for the entire income of winnings from horse racing and should be subject to tax at the special rate provided therein. It is not the case of the assessee that the income being brought to tax is earned from owning and maintaining the horses. Therefore, in our considered opinion, the provisions of Section 58(4) of the Act will not come into play. 13. The methodology of computing tax on Long Term Capital Gain vis-a-vis Section 112 of the Act for which the assessee relied on t....