1985 (3) TMI 30

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....of the present reference under section 256(1) of the Income-tax Act, 1961, which relates to the assessment year 1972-73, the question referred is: " Whether, on the facts and in the circumstances of the case, the Tribunal was legally correct in holding that capital gains tax was not leviable and in excluding the capital gains for assessment ? " The facts of the case show that the assessee ha....

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....m of capital gain was reduced to Rs. 1,65,379 as a result of recalculation of the value of shares. There was a further appeal to the Tribunal where several points were urged. One of the points was that section 52(2) of the Act was not applicable on the ground that the same shares had also been subjected to gift-tax proceedings. Following the ratio of this High Court's decision in Shiv Shankar L....

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.... to some extent regarding the question now before us. It has also been pointed out there that the Supreme Court had decided the application and conditions for applying section 52(2) in K. P. Varghese v. ITO [1981] 131 ITR 597. There was, therefore, some support for the answer given by the Tribunal to the referred question in the judgment of the Tribunal in this particular case. The third point ....