Asia Sugar Industries Pvt. Ltd. v. ACIT - 2019-LL-0930-7

Citation	2019-LL-0930-7
Appellant Name	Asia Sugar Industries Pvt. Ltd.
Respondent Name	ACIT
Court	HIGH COURT OF DELHI AT NEW DELHI
Relevant Act	Income-tax
Date of Order	30/09/2019
Assessment Year	2011-12
Judgment	View Judgment
Keyword Tags	sale and purchase of share • speculative transaction • overriding effect • loss incurred
Bot Summary:	CORAM: HON'BLE MR. JUSTICE VIPIN SANGHI HON'BLE MR. JUSTICE SANJEEV NARULA ORDER 30.09.2019 The appellant has preferred the present appeal to assail the order dated 20.09.2018 passed by the Income Tax Appellant Tribunal Delhi Bench: A , New Delhi in ITA No. 1809/Del/2015 in respect of the assessee for the assessment year 2011-12. The appellant has sought to raise the following questions of law for consideration in the present appeal. Whether on the facts and circumstances of the case, the loss incurred by the assessee in futures and options i.e. derivatives can be considered to be speculative in nature Whether the deeming fiction as per Explanation below section 73(4) of the Act in treating business of sale and purchase of share as speculative transaction can be extended to include business of buying and selling of futures and optionsWhether the Explanation below section 73(4) of the Act has overriding effect on the Explanation of section 43(5) of the Act The Tribunal has held in favour of the Revenue by placing reliance on the decision of this Court in Commissioner of Income-tax, Delhi-IV Vs. DLF Commercial Developers Ltd., 218 Taxman 45. Learned counsel for the appellant does not dispute the fact that the aforesaid decision covers the questions of law raised by the appellant. He submits that a special leave petition is pending before the Supreme Court from the decision of this Court in DLF Commercial Developers Ltd. being SLP 33478/2013, wherein leave has been granted. He, further, submits that the issue is covered in favour of the appellant by several other decisions of the Calcutta High Court, the Madras High Court, the Gujarat High Court and the Bombay High Court. In any event, since this Court has already answered the questions of law raised by the appellant in DLF Commercial Developers Ltd., we are not inclined to hear this appeal.

$ 1. * IN HIGH COURT OF DELHI AT NEW DELHI + ITA 131/2019 ASIA SUGAR INDUSTRIES PVT. LTD. Appellant Through: Mr. Ved Jain, Ms. Umang Luthra, Mr.Kislaya Parashar and Ms.Mekhala Benny, Advocates. versus ACIT Respondent Through: Mr. Raghvendra Singh and Mr. Vipul Agrawal, Advocates. CORAM: HON'BLE MR. JUSTICE VIPIN SANGHI HON'BLE MR. JUSTICE SANJEEV NARULA ORDER % 30.09.2019 appellant has preferred present appeal to assail order dated 20.09.2018 passed by Income Tax Appellant Tribunal Delhi Bench: , New Delhi in ITA No. 1809/Del/2015 in respect of assessee for assessment year 2011-12. appellant has sought to raise following questions of law for consideration in present appeal. (1) Whether on facts and circumstances of case, loss incurred by assessee in futures and options i.e. derivatives can be considered to be speculative in nature? (2) Whether deeming fiction as per Explanation below section 73(4) of Act in treating business of sale and purchase of share as speculative transaction can be extended to include business of buying and selling of futures and options? (3)Whether Explanation below section 73(4) of Act has overriding effect on Explanation (d) of section 43(5) of Act? Tribunal has held in favour of Revenue by placing reliance on decision of this Court in Commissioner of Income-tax, Delhi-IV Vs. DLF Commercial Developers Ltd., 218 Taxman 45 (Delhi). Learned counsel for appellant does not dispute fact that aforesaid decision covers questions of law raised by appellant. He, however, submits that special leave petition is pending before Supreme Court from decision of this Court in DLF Commercial Developers Ltd. (supra) being SLP (Civil) 33478/2013, wherein leave has been granted. He, further, submits that issue is covered in favour of appellant by several other decisions of Calcutta High Court, Madras High Court, Gujarat High Court and Bombay High Court. This submission is, however, disputed by learned senior standing counsel for respondent/ Revenue. In any event, since this Court has already answered questions of law raised by appellant in DLF Commercial Developers Ltd. (supra), we are not inclined to hear this appeal. Dismissed. VIPIN SANGHI, J SANJEEV NARULA, J SEPTEMBER 30, 2019 B.S.Rohella Asia Sugar Industries Pvt. Ltd. v. ACIT

Metadata

Judgment