2019 (1) TMI 546

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....d that the income arising out of the sale of shares should be taxed as business income.   2. The additional question raised in Income Tax Appeal No. 825 of 2016 by the Revenue concerns the assessee's claim of exemption under Section 54F of the Income Tax Act, 1961 ('The Act' for short) by purchasing two flats Nos. 904A and 904B of residential complex. The Revenue contends that both the flats are independent units and the assessee, therefore, cannot get exemption with respect to investments made in purchase of both of them. The assessee, however, contends that the flats were combined into one common unit for residential purpose. 3. Concerning the question of assessee's dealing in shares, broadly, the Assessing Officer's ob....

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....n of law in this regard arises.   5. Regarding the revenue's objection to the assessee's claim of exemption under Section 54F of the Act, the CIT(A) and the Tribunal concurrently held that the two flats were combined into one residential unit. There was a common electricity connection and common bill. There was only one telephone connection. The LPG connection was also single. There was common kitchen for the entire unit. We notice that a Division bench of this Court in largely similar set of circumstances in Income Tax Appeal No. 2483 of 2011 (CIT Vs. Devdas Naik) had dismissed the Revenue's appeal by Judgment dated 10.6.2014 after making following observations:- '4. We are unable to agree. We found that the evidence....