2009 (7) TMI 21

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nt JUDGMENT ADARSH KUMAR GOEL, J. - The revenue has preferred this appeal under Section 260A of the Income Tax Act, 1961 (for short, "the Act") against the order of Income Tax Appellate Tribunal, Chandigarh dated 31.10.2008 passed in I.T.A. No.110/CHD/2008 in the case of ACIT, Circle, Patiala Vs. M/s Raj Bricks Industry 70, Ajit Nagar, Patiala, for the assessment year 2005-06, proposing t....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....iness of running brick kiln. It derived income from sale of land earlier purchased.  The land was sold on winding up of the firm. The said income was claimed to be income from capital gain. The Assessing Officer, however, held the said income to be not from capital gain but from business, by treating the sale to be adventure in the nature of trade. On appeal, the CIT(A) reversed the view take....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....sale of land rather the assessee was doing its bricks business. In view of this fact we are in agreement with the impugned order that there was no adventure in the nature of trade specially when the filling was done in 2001 and the sale was made in the financial year 2004-05. Even otherwise it was the prerogative of the assessee to decide as to which part of the land is to be used for its brick ki....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....lied the ratio of Rs. 301.42 per sq. yard but the CIT (A) adopted the ratio of Rs. 200 per square yard, as claimed by the assessee, which was upheld by the Tribunal. 5. We have heard learned counsel for the appellant. 6. On question (i), we find that the CIT(A) as well as the Tribunal concurrently held that it was not business of assessee to purchase and sell the land and having regard to al....