Traders and Miners Ltd. v. CIT

27 ITR 341High Court1955#7975 most cited
14

judgments rely on this decision, according to BharatTax’s citation analysis of 292,668 Indian tax judgments — from 2015 to 2026.

Sections most often in play

Section 143(2)Section 143(3)Section 2(14)Section 32Section 37(1)Section 43BSection 135Section 142(1)

Issues it is cited on

substance over formtransfer of capital assetsection 2(14)section 2(47)block of assetsintangible assetssection 45section 50revenue expendituresection 32capital expendituresection 37(1)

Judgments citing Traders and Miners Ltd. v. CIT

M/S SOVA,PANAJI vs. PR. COMMISSIONER OF INCOME TAX, PANAJI

The appeal of the assessee is PARTLY ALLOWED in aforestated terms

ITA 24/PAN/2024[2018-19]Status: DisposedITAT Panaji10 Mar 2026AY 2018-19

Bench: Hon’Ble Shri Pavan Kumar Gadale & Shri G. D. Padmahshaliassessment Years: 2018-19 M/S Sova Salgaocar Bhavan, Altinho, Panaji, Goa-403001. Pan: Aacfs8862Q . . . . . . . Appellant V/S Pr. Commissioner Of Income Tax, Panaji, Goa. . . . . . . . Respondent

For Appellant: Mr Sukhsagar Syal [‘Ld. AR’]For Respondent: Mr M Satish [‘Ld. DR’]
Section 143(2)Section 143(3)Section 253(1)Section 263Section 56

…n.com 675 (Panaji)] and submitted that the issue regarding nature of sum expended/incurred on renewal of mining lease has been considered by Ld. Co-ordinate bench, which following the binding judicial precedence laid in ‘Traders and Miners Ltd. Vs CIT’ [1955, 27 ITR 341 (Pat)], ‘R.K. Palshikar (HUF) Vs CIT’ [1988, 56 CCH ITAT-Panaji Page 6 of 20 M/s Sova Vs PCIT ITA No. 024/PAN/2024 AY: 2018-19 217 (SC)], ‘A.R. Krishnamurthy Vs CIT’ [1989, 43 Taxman 30 (SC)], ‘Rajendra Mining Syndicate v. CIT’ [1961, 43 ITR 460 (AP)], ‘Aditya Minerals (P.) Ltd. v. CIT’ (supra) and ‘Gotan Lime Syndicate v. CIT’ [1966, 59 ITR 718…

M/S R. S. SHETYE & BROS,PANAJI vs. ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE -1(1), PANAJI

In the result, the appeal filed by the assessee is partly allowed

ITA 37/PAN/2023[2016-17]Status: DisposedITAT Panaji27 Feb 2026AY 2016-17

Bench: Shri Pavan Kumar Gadale & Shri G D Padmahshalii T A. No.37/Pan/2023 (A.Y.2016-17) R.S.Shetye & Bros, Vs Acit 1(1), Flat.No.14, 1 St Floor, Aaykar Bhavan, . Trionara Apartments, Edc, Patto, New Muncipal Market, Panjim Panaji- Goa-403001. Goa-403001. Pan .No.Aabfr9785N (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent)

Section 3

…ng lease granted for a period of ten years is a capital asset and give rise to a capital gain came for consideration before the Hon’ble Patna High Court in a landmark case of 11 ITA. No.37/PAN/2023 R.S.Shetye and Bros. ‘Traders And Mines Ltd. Vs CIT’ [1955, 27 ITR 341 (Pat)] where assessee company after purchasing various pieces of land, leased them for a period of 99 years to surface right together with certain mica mines located therein. The indenture by which such land was leased with surface right held to be transfer of capital asset giving rise to gain tax. The former ratio subsequently found affirmed & fo…

BANDEKAR BROTHERS PRIVATE LIMITED,VASCO-DA-GAMA, GOA vs. ASSISTANT COMMISSIONER OF INCOME TAX, PANAJI, GOA

The appeal of the assessee is PARTLY ALLOWED in aforestated terms

ITA 38/PAN/2025[2013-14]Status: DisposedITAT Panaji11 Feb 2026AY 2013-14

Bench: Hon’Ble Shri Pavan Kumar Gadale & Shri G. D. Padmahshaliassessment Years: 2013-14 Bandekar Brothers Pvt. Ltd. Post Box No. 11, Suvarna Bandekar Bldg., Swatantra Path, Vasco-Da-Gama Goa-403802 Pan: Aaacb5502B . . . . . . . Appellant V/S Asstt. Commissioner Of Income Tax, Circle-2(1), Panaji, Goa. . . . . . . . Respondent Represented Assessee By: Mr Pramod & Mr Shriniwas Deshpande [‘Ld. Ar’] Revenue By: Mr M Satish & Mr Renga Rajan [‘Ld. Dr’] Date Of Conclusive Hearing : 12/01/2026 Date Of Pronouncement : 11/02/2026 Order Per G. D. Padmahshali; This Assessee’S Appeal Filed U/S 253(1) Of The Income-

For Appellant: Mr Pramod & Mr Shriniwas Deshpande [‘Ld. AR’]For Respondent: Mr M Satish & Mr Renga Rajan [‘Ld. DR’]
Section 143(1)Section 143(2)Section 143(3)Section 14ASection 2(14)Section 246ASection 250Section 253(1)Section 37(1)

…38/PAN/2025 AY: 2013-14 19. As to whether mining lease granted for a period of ten years is a capital asset and give rise to a capital gain came for consideration before the Hon’ble Patna High Court in a landmark case of ‘Traders And Mines Ltd. Vs CIT’ [1955, 27 ITR 341 (Pat)] where assessee company after purchasing various pieces of land, leased them for a period of 99 years to surface right together with certain mica mines located therein. The indenture by which such land was leased with surface right held to be transfer of capital asset giving rise to gain tax. The former ratio subsequently found affirmed & fo…

M/S. MAHINDRA RESIDENTIAL DEVELOPERS LTD.,,KANCHIPURAM vs. ITO, CORPORATE WARD - 4 (1),, CHENNAI

In the result, the appeals of the assessee for AYs 2012-13, 2013-14

ITA 338/CHNY/2020[2013-14]Status: DisposedITAT Chennai06 Sept 2024AY 2013-14

Bench: Shri Aby T. Varkey & Shri Jagadishआयकर अपील सं./Ita No.870/Chny/2017 िनधा"रणवष"/Assessment Year: 2012-13 & आयकर अपील सं./Ita Nos.338 & 339/Chny/2020 िनधा"रणवष"/Assessment Years: 2013-14 & 2014-15

For Appellant: Mr.Raghavan-For Respondent: Shri A. Sasikumar, CIT
Section 10ASection 143(2)Section 143(3)Section 80

…. The assessee preferred an appeal to the Tribunal. The Tribunal treated the case as if there was a transfer of a leasehold interest, that the term "capital assets" in s. 2(14) would include a leasehold interest as held in Traders and Miners Ltd. v. CIT [1955]27 ITR 341 (Pat), and that, therefore, s. 45 was attracted. On the further finding that the sum of Rs. 5 lakhs was paid as consideration for the transfer of such leasehold interest in favour of the company and that the principle in CIT v. Rathnam Nadar [1969] 71 ITR 433 (Mad) will not be applicable to the facts of the case, the Tribunal confirmed the order o…

MAHINDRA RESIDENTIAL DEVELOPERS LTD.,CHENGALPUT vs. ITO, CHENNAI

ITA 870/CHNY/2017[2012-13]Status: DisposedITAT Chennai06 Sept 2024AY 2012-13
Section 10ASection 143(2)Section 143(3)Section 80

…assessee preferred an appeal to the Tribunal. The Tribunal treated the\ncase as if there was a transfer of a leasehold interest, that the term \"capital\nassets\" in s. 2(14) would include a leasehold interest as held in Traders and\nMiners Ltd. v. CIT [1955]27 ITR 341 (Pat), and that, therefore, s. 45 was\nattracted. On the further finding that the sum of Rs. 5 lakhs was paid as\nconsideration for the transfer of such leasehold interest in favour of the\ncompany and that the principle in CIT v. Rathnam Nadar [1969] 71 ITR 433\n(Mad) will not be applicable to the facts of the case, the Tribunal confirmed the\nor…

M/S. STP LIMITED,KOLKATA vs. DCIT, CIRCLE-10, KOLKATA, KOLKATA

In the result, appeal filed by the assessee is dismissed

ITA 749/KOL/2017[2011-12]Status: DisposedITAT Kolkata05 Feb 2020AY 2011-12

Bench: Shri S. S. Godara, Jm & Dr. A.L. Saini, Am Vs. Dcit, Circle-10, Kolkata M/S Stp Limited C/O. G.P. Agarwal & Associates, 7A, Kiran Shankar Ray Road, 2Nd Floor, Kol-1. "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aaecs6339M .. (अपीलाथ" /Appellant) (""यथ" / Respondent)

For Appellant: Shri D. K. Kothari, FCAFor Respondent: Smt. Ranu Biswas, Addl. CIT
Section 143(3)

…heavily relied on the judgment of Hon'ble Supreme Court in the case of R. K. Palshikar [1988] 172 ITR 311. Besides Hon'ble High Court also referred to the following judgments: a) AR Krishnamurti -vs- CIT, 1989 176 ITR 417 (SC] b) Traders & Minors Ltd. [1955] 27 ITR 341 [Patna High Court] c) A. Gaspcr-vs-CIT 192 ITR 382 [SC] d) A. Gasper-vs-CIT [1979] 117 ITR 581 [Calcutta HC e) CIT-vs-Panbari Tea Co. Ltd. [1965] 57 ITR 422 Thus it is evident that creation of sub lease rights would also amount to transfer of Leasehold Rights, under certain conditions. Whether the lessor continues getting rent even after the date…

LATE SHRI PRAKASHCHANDRA GOYAL,,SURAT vs. THE INCOME TAX OFFICER, WARD-1(3)(4),, SURAT

In the result, appeal of the assessee is allowed

ITA 29/AHD/2017[2013-14]Status: DisposedITAT Surat14 Nov 2018AY 2013-14

Bench: Shri C.M.Garg & Shri O.P.Meenaआ.अ.सं./I.T.A. No.29/Ahd/2017/Srt िनधा"रण वष"/Assessment Year : 2013-14 Shri Prakashchandra Goyal(L/H Of Vs. The Income Tax Officer, Late Shri Kapil Prakashchandra Ward-1(3)(4), Surat. Goyal), A-1002, Meghdhanush Apartment Sarelawadi, Ghoddod Road, Surat अपीलाथ" Appellant ""यथ"/Respondent िनधा"रती क" ओर से /Assessee By Shri Vinod Goyal – Ca राज"व क" ओर से /Revenue By Shri Vinod Kumar – Sr.Dr 01.11.2018 सुनवाई क" तारीख/ Date Of Hearing: 14.11.2018 उ"ोषणा क" तारीख/Pronouncement On आदेश /O R D E R Per O. P. Meena, Accoutant Member: 1. This Appeal Filed By The Assessee Is Directed Against The Order Of Learned Commissioner Of Income Tax (Appeals)-2, Surat(In Short “The Cit (A)”) Dated 17.11.2016 Pertaining To Assessment Year 2013-14 Which In Turn Has Arisen From The Order Passed By The Income Tax Officer, Ward-1(3)(4), Surat(In Short “The Ao”) Dated 14.03.2016 Under Section 143(3) Of Income Tax Act,1961 (In Short ‘The Act’).

Section 143(3)Section 2(14)(a)Section 50Section 50C

…hchandra Goyal) Vs. ITO, Ward -1(3)(4)/ITA Page 3 of 6 No.29/Ahd/2017/SRT/AY.2013-14 of the lease hold rights granted to the assessee under the lease deed will have to be examined. The CIT(A), therefore placing reliance in the case of Traders and Minors Ltd., 27 ITR 341 (Patna) and Shri Hari Om Gupta ITA No.3222/Lkw/2013 dated 11.04.2014 held that lease hold right is also a capital asset and therefore lease hold right for 99 years for a land is also a capital asset to it the provision section 50C are applicable, hence, the addition of Rs.3,68,289/- made by the AO was upheld. 5. Being aggrieved, the assessee file…

DCIT, NEW DELHI vs. SH. MONI KUMAR SUBBA, NEW DELHI

In the result ground No. 2 of the appeal of the assessee is allowed

ITA 4038/DEL/2013[2006-07]Status: DisposedITAT Delhi12 Oct 2018AY 2006-07

Bench: Smt. Diva Singh & Shri O.P. Kantassessment Year: 2006-07 Dcit, Vs. Sh. Moni Kumar Subba, Central Circle-4, New Delhi Subba Farm House, 118, Village Sultanpur, Mehrauli, Gurgaon Road, Delhi Pan :Aasps1484J (Appellant) (Respondent) & Assessment Year: 2006-07 Shri. Moni Kumar Subba, Vs. Acit, Subba Farm House, 118, Central Circle-4, E-2, Ara Village Sultanpur, Mehrauli, Centre, Jhandewalan Extn., Gurgaon Road, Delhi New Delhi Pan :Aasps1484J (Appellant) (Respondent)

Section 143Section 2(22)(e)Section 2(47)Section 23Section 23(1)

…sub clause (ii) of definition of transfer in relation to capital assets, contained in clause (47) of section 2 of I.T.Act. In my opinion, this view gets strength from the decision of hon’ble Patna High Court in the case of Traders & Miners Ltd. Vs CIT (1955) 27 ITR 341, though the said decision was, in respect of, mining lease. As in the present case, the exploitation of the right property in question is to the extent which is more than only leasing as discussed supra. I agree with various judicial pronouncement relied upon by the Assessing Officer in support of transfer of assets. Accordingly, I confirm the dec…

MONI KUMAR SUBBA,DELHI vs. ACIT, NEW DELHI

In the result ground No. 2 of the appeal of the assessee is allowed

ITA 3982/DEL/2013[2006-07]Status: DisposedITAT Delhi12 Oct 2018AY 2006-07

Bench: Smt. Diva Singh & Shri O.P. Kantassessment Year: 2006-07 Dcit, Vs. Sh. Moni Kumar Subba, Central Circle-4, New Delhi Subba Farm House, 118, Village Sultanpur, Mehrauli, Gurgaon Road, Delhi Pan :Aasps1484J (Appellant) (Respondent) & Assessment Year: 2006-07 Shri. Moni Kumar Subba, Vs. Acit, Subba Farm House, 118, Central Circle-4, E-2, Ara Village Sultanpur, Mehrauli, Centre, Jhandewalan Extn., Gurgaon Road, Delhi New Delhi Pan :Aasps1484J (Appellant) (Respondent)

Section 143Section 2(22)(e)Section 2(47)Section 23Section 23(1)

…sub clause (ii) of definition of transfer in relation to capital assets, contained in clause (47) of section 2 of I.T.Act. In my opinion, this view gets strength from the decision of hon’ble Patna High Court in the case of Traders & Miners Ltd. Vs CIT (1955) 27 ITR 341, though the said decision was, in respect of, mining lease. As in the present case, the exploitation of the right property in question is to the extent which is more than only leasing as discussed supra. I agree with various judicial pronouncement relied upon by the Assessing Officer in support of transfer of assets. Accordingly, I confirm the dec…

THE PRINCIPAL OFFICER, SARDA MINES PVT. LTD.,KEONJHAR vs. ACIT(TDS)-II, BHUBANESWAR

In the result, appeals filed by the assessee are allowed

ITA 298/CTK/2017[2009-10]Status: DisposedITAT Cuttack31 Aug 2018AY 2009-10

Bench: S/Shri N.S Saini & Pavan Kumar Gadale

For Appellant: Shri Bhagban Panda/D.K.Mohanty, ARFor Respondent: Shri Subhendu Datta, DR
Section 194Section 201(1)

…9, ITO (TDS) 3(5) Mumbai Vs. M/s. Wadhwa & Associates P a g e 7 | 24 ITA Nos. 296, 297 & 298/CT K/ 2017 Asse ssment Years : 2 007 -08 , 20 08- 09 & 200 9-2 010 Realtors Pvt. Ltd. on 19.06.2013 (ITA No.695/Mum/2012), Traders and Miners Ltd. Vrs. CIT (1995) 27 ITR 341 ( Patna)"]. 7. Ld A.R. further submitted that in the order dated 29.12.2017 passed by the CIT(A)-10, Kolkata in Appeal No.713/CIT(A)-10/07-08/Kol against the order of the Assessing officer dated 30.3.2015 passed u/s.147/143(3)/144 of the Act at page 12 of the order in para 9 P.No.3 has observed as under: “After giving due consideration to the…

THE PRINCIPAL OFFICER, SARDA MINES PVT. LTD.,KEONJHAR vs. ACIT(TDS)-II, BHUBANESWAR

In the result, appeals filed by the assessee are allowed

ITA 297/CTK/2017[2008-09]Status: DisposedITAT Cuttack31 Aug 2018AY 2008-09

Bench: S/Shri N.S Saini & Pavan Kumar Gadale

For Appellant: Shri Bhagban Panda/D.K.Mohanty, ARFor Respondent: Shri Subhendu Datta, DR
Section 194Section 201(1)

…9, ITO (TDS) 3(5) Mumbai Vs. M/s. Wadhwa & Associates P a g e 7 | 24 ITA Nos. 296, 297 & 298/CT K/ 2017 Asse ssment Years : 2 007 -08 , 20 08- 09 & 200 9-2 010 Realtors Pvt. Ltd. on 19.06.2013 (ITA No.695/Mum/2012), Traders and Miners Ltd. Vrs. CIT (1995) 27 ITR 341 ( Patna)"]. 7. Ld A.R. further submitted that in the order dated 29.12.2017 passed by the CIT(A)-10, Kolkata in Appeal No.713/CIT(A)-10/07-08/Kol against the order of the Assessing officer dated 30.3.2015 passed u/s.147/143(3)/144 of the Act at page 12 of the order in para 9 P.No.3 has observed as under: “After giving due consideration to the…

CIT vs. M/S TELETUBE ELECTRONICS LTD

The appeal of the Assessee is allowed

ITA - 132 / 2002HC Delhi24 Sept 2015
Section 2Section 2(47)Section 260ASection 45Section 50

…not intended as a tax avoidance device. The consideration was fixed on the basis of the value of the entire going concern because of the opportunity loss of the lessor. 29. Mr. Vohra distinguished the decisions in Traders and Miners Ltd. v. CIT (1955) 27 ITR 341 (Patna) and A.R. Krishnamurthy (supra) where the context was the grant of lease of mining rights and which therefore was of a 2015:DHC:8039-DB ITA Nos. 38 of 2002 & 132 of 2002 Page 18 of 32 very different character. In this context he also referred to the decisions in Sun Engineering 198 ITR 227 (SC) and R.…

TELETUBE ELECTRONICS LTD

The appeal of the Assessee is allowed

ITA/38/2002HC Delhi24 Sept 2015
Section 2Section 2(47)Section 260ASection 45Section 50

…not intended as a tax avoidance device. The consideration was fixed on the basis of the value of the entire going concern because of the opportunity loss of the lessor. 29. Mr. Vohra distinguished the decisions in Traders and Miners Ltd. v. CIT (1955) 27 ITR 341 (Patna) and A.R. Krishnamurthy (supra) where the context was the grant of lease of mining rights and which therefore was of a 2015:DHC:8039-DB ITA Nos. 38 of 2002 & 132 of 2002 Page 18 of 32 very different character. In this context he also referred to the decisions in Sun Engineering 198 ITR 227 (SC) and R.…

TELETUBE ELECTRONICS LTD

The appeal of the Assessee is allowed

ITA/132/2002HC Delhi24 Sept 2015
Section 2Section 2(47)Section 260ASection 45Section 50

…not intended as a tax avoidance device. The consideration was fixed on the basis of the value of the entire going concern because of the opportunity loss of the lessor. 29. Mr. Vohra distinguished the decisions in Traders and Miners Ltd. v. CIT (1955) 27 ITR 341 (Patna) and A.R. Krishnamurthy (supra) where the context was the grant of lease of mining rights and which therefore was of a 2015:DHC:8039-DB ITA Nos. 38 of 2002 & 132 of 2002 Page 18 of 32 very different character. In this context he also referred to the decisions in Sun Engineering 198 ITR 227 (SC) and R.…