ACIT NON CORPORATE CIRCLE 10(1), CHENNAI vs. DR.M.R.GIRINATH , CHENNAI

The Revenue filed this appeal against the order of Commissioner of Income Tax (Appeals)- 2, Chennai in dated

Shri. M.R. Girinath, the assessee, is a medical practitioner. While completing the assessment for assessment year 2012-13, the Assessing Officer found that the assessee was trading in large volumes of shares and other derivatives. After giving adequate opportunity to the assessee, the AO assessed the income returned by the assessee under the head “capital gains” under the head “business income”. Further, he made disallowance u/s. 14A r.w.r. 8D. Aggrieved, the assessee filed appeal before the Ld. CIT(A). The Ld. CIT(A) directed the AO to treat the transactions in shares under head “capital gains” and restricted the 14A disallowance from Rs. 8,50,871/- to Rs. 4,64,074/-.

Aggrieved, the Revenue filed the above appeal and the assessee filed the CO. At the time of hearing, the Ld. DR submitted that the appeal is falling within the monetary limit as per the CBDT circular and the Ld. AR also withdrew the CO. In the facts and circumstances, the appeal filed by the Revenue and the CO filed by the assessee are dismissed.