INCOME TAX OFFICER v. BIJOY KUMAR PANDYA
[Citation -1985-LL-1011-4]
| Citation | 1985-LL-1011-4 |
|---|---|
| Appellant Name | INCOME TAX OFFICER |
| Respondent Name | BIJOY KUMAR PANDYA |
| Court | ITAT |
| Relevant Act | Income-tax |
| Date of Order | 11/10/1985 |
| Assessment Year | 1978-79 |
| Judgment | View Judgment |
| Keyword Tags | capital gain • personal use • maharaja |
| Bot Summary: | During the previous year relevant to the assessment year under consideration 1978-79 the assessee sold 28.2 Kg of silver utensils to M/s. Shyam Co., Calcutta and 49.550 Kg of silver utensils to M/s Bijoy Co., Calcutta at Rs. 94,039. These silver utensils were acquired by the assessee after his marriage more than 20 year back. The assessee contended that these silver utensils were held by him for personal use and as such these are excluded form the definition of capital assets, within the meaning of s. 2(14) of the Act. On appeal the AAC accepted the assessee s claim and deleted the addition made by the ITO. It was contended by the Departmental Representative that the quantity of the silver utensils i.e. 77.750 Kgs goes to show that these silver utensils were not meant for personal use but were purchased as an investment. As such he contended that this could not be treated as personal effected held for personal use by the assessee and members of his family. He further contended that the number of each item of utensils are also compatible with the assessee s claim of its being used by the assessee, member of his family and guests. On such consideration we are of the opinion that the AAC was correct in coming to the conclusion that the silver utensils were personal effects hold for personal use of assessee and members of his family and as such did not constitute capital assets as defined in s. 2(14) of the Act and hence tax for capital gain was not to be paid on sale of the said silver utensils. |