Supreme Court of India

Snowtex Investment Limited v. Principal Commissioner of Income Tax, Central-2, Kolkata

Neutral citation
Reported as [2019] 8 S.C.R. 687
Bench Dr. Dhananjaya Y Chandrachud and Hemant Gupta JJ.
Decided 30 April 2019

INSC stands for INDIAN SUPREME COURT. A neutral citation scheme assigned by the Court itself, so a judgment can be cited without depending on a commercial law reporter. INSC is the neutral citation scheme assigned by the Supreme Court, so a judgment can be cited without depending on a commercial law reporter.

What the Court ordered

We are of the view that the High Court was justified in relying upon the specific admission of the assessee that during the assessment year in question, its sole business was of dealing in shares.

Judgment, page 11

From the headnote

Income Tax Act, 1961: ss.43(5)(d), 73 – Assessment year 2008- 2009 – Assessee-NBFC having sole business of share trading – Transacting in future and options – Whether the speculation lo ss is capable of set off against the profits of trading in future and options – Held: The loss which occurred to the assessee as a re sult of its activity of trading in shares (a loss arising from the business of speculation) is not capable of being set off against the profits which it has earned against the business of futures and options s ince the latter would not constitute profits and gains of a specula

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