1980 (7) TMI 122

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....ng the course of assessment proceedings, the ITO came to know that the assessee had shown a loss of Rs. 16,426 in cotton account. The ITO further found that the assessee has debited the loss in this account by giving narration in the Nakal on the last day of the accounting year. The ITO found that the assessee had shown the loss of Rs. 16,426 on purchases sales of 100 cotton bales through M/s. Vas....

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....eliance was placed on the decision in the case of Maggaji Shermal & Anr. (1978) 114 ITR 862 (AP). According to the ld. counsel, in the said decision, the Hon'ble Andhra Pradesh High Court held that when there was a solitary transaction, there could be no speculation business and the loss if any incurred in such cases shall be considered as business loss under s. 28 of the Act, 1961. 3. The ld. ....

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....contentions were advanced which were put forth before the AAC. Reliance was also placed on the decision in the case of Maggaji Shermal. 5. The ld. Deptl. Representative supported the order of the AAC. He also contended that the decision relied by the assessee is not applicable on the facts of the present case. 6. We have heard the parties and perused the material on record. If we go through ....