speculation loss — 200 case laws

M/S Amu Shares and Securities Ltd, Mumbai vs. Deputy Commissioner of Income-Tax, Circle-4(1)(1), Mumbai

In the result, appeal of the assessee is allowed

ITA 4364/MUM/2023[2009-10]Status: DisposedITAT Mumbai26 Jul 2024AY 2009-10

Bench: SHRI AMIT SHUKLA (Judicial Member), SMT RENU JAUHRI (Accountant Member)

shares of Rs.80,33,000/- while 2 Amu shares and Securities Ltd calculating the gross total income and it remaining the same as speculation loss from deleting in shares in view of explanation to Section 73 of the Act. 3. The brief facts are that assessee has filed its return ... assessee has incurred loss on purchase and sale of shares and jobbing in shares, the loss of Rs 7,89,523/- was treated as speculation loss in view of provision of explanation to section 73 of the IT Act, 1961. 4. Further, ld. AO asked to allocate direct expenses relating

Trade City Commodities Pvt. Ltd., Kolkata vs. ITO, Ward-4(1), Kolkata.

In the result, the appeal filed by the assessee is allowed for statistical purposes

ITA 678/KOL/2023[2013-14]Status: DisposedITAT Kolkata23 Jul 2024AY 2013-14

Bench: Pradip Kumar Choubey & Sri Sanjay Awasthi

Section 143(3)Section 43(5)

concluded that these losses were on account of trading in commodities and thereafter, he proceeded to treat them as speculation losses u/s 43(5) of the Act. The ld. AO has also noted that prior to 01.04.2014, commodity loss was in the nature of speculation loss and hence, he deduced ... order that the appellant did not adequately respond to queries in this regard. Thereafter, he proceeded to add the brought forward speculative loss to the tune of Rs. 14,17,634/-. 2.2. Aggrieved with this action of ld. AO, the appellant approached the Commissioner of Income Tax (Appeals)-2, Kolkata

The ACIT, Circle-2(1)(2), Ahmedabad vs. Kunvarji Finance Pvt. Ltd., Ahmedabad

ITA 2147/AHD/2017[2014-15]Status: DisposedITAT Ahmedabad02 Jul 2024AY 2014-15

Bench: Ms. Suchitra Kamble & Shri Makarand V. Mahadeokar, Accountnat Member Assessment Year : 2014-15 The Acit Kunvarji Finance Pvt.Ltd. Circle-2(1)(2) Vs Block B, 1St Floor Ahmedabad Siddhi Vinayak Tower Off S.G. Highway Mouje Makarba, Ahmedabad Pan: Aaack 8759 R अपीलाथ"/ (Appellant) "" यथ"/ (Respondent) Assessee By : Shri Bandish Soparkar, Ar Revenue By : Smt. Malarkodi R., Sr.Dr सुनवाई क" तार"ख/Date Of Hearing : 20/06/2024 घोषणा क" तार"ख /Date Of Pronouncement: 02/07/2024 आदेश/O R D E R Per Shri Makarand V. Mahadeokar, Am:

For Appellant: Shri Bandish Soparkar, ARFor Respondent: Smt. Malarkodi R., Sr.DR

Section 106Section 143(1)Section 143(3)Section 14A

account of treating loss of trading in shares Rs.1,71,03,200/- as non-genuine and fabricated and addition on account of disallowance of speculation loss of Rs.13,45,857/-. 2.1. The assessee filed an appeal before the Ld.CIT(A), who partly allowed the appeal restricting disallowance u/s.14A to Rs.13 ... deleted the additions on account of loss of trading in shares and speculation loss. 3. Aggrieved by the order of the Ld.CIT(A), the Revenue is in appeal before us with the following grounds of appeal: “1. The Ld. CIT(A) has erred in law and on facts in deleting

The Dy.Commissioner of Income Tax, Circle-1(1)(2), Ahmedabad vs. M/S. Cadila Pharmaceuticals Ltd., Ahmedabad

In the result, Revenue’s appeal is allowed in part

ITA 74/AHD/2020[2010-11]Status: DisposedITAT Ahmedabad01 Jul 2024AY 2010-11

Bench: Shri TR Senthil Kumar (Judicial Member), Shri Narendra Prasad Sinha (Accountant Member)

For Appellant: Parin Shah, A.RsFor Respondent: Dr. Darsi Suman Ratnam, CIT

Section 143(3)Section 35

erred in facts and law in deleting the foreign currency loss of Rs.29.22.90.000/- which were treated as speculation loss based on the findings in the assessment order. (16) The CITIA) has erred in facts and law in deleting the adjustment of Rs. 3.54,82.415/- made u/s 115JB ... Number- 15: Foreign Currency Loss: 15.1 Ground No.15 pertains to deletion of foreign currency loss of Rs.29,22,90,000/-, which was treated as speculation loss in the assessment order. The Ld. CIT(A) had allowed the relief to the assessee following the decision of ITAT in assessee

Cadila Pharmaceuticals Ltd., Ahmedabad vs. The Asst. Commissioner of Income Tax, Circle-1(1)(2), Ahmedabad

In the result, Revenue’s appeal is allowed in part

ITA 53/AHD/2020[2010-11]Status: DisposedITAT Ahmedabad01 Jul 2024AY 2010-11

Bench: Shri TR Senthil Kumar (Judicial Member), Shri Narendra Prasad Sinha (Accountant Member)

For Appellant: Parin Shah, A.RsFor Respondent: Dr. Darsi Suman Ratnam, CIT

Section 143(3)Section 35

erred in facts and law in deleting the foreign currency loss of Rs.29.22.90.000/- which were treated as speculation loss based on the findings in the assessment order. (16) The CITIA) has erred in facts and law in deleting the adjustment of Rs. 3.54,82.415/- made u/s 115JB ... Number- 15: Foreign Currency Loss: 15.1 Ground No.15 pertains to deletion of foreign currency loss of Rs.29,22,90,000/-, which was treated as speculation loss in the assessment order. The Ld. CIT(A) had allowed the relief to the assessee following the decision of ITAT in assessee

Agarwal Sponge & Energy Private Limited, Hyderabad vs. Dy. Commissioner of Income Tax, Circle-1(1), Hyderabad

The appeal are dismissed

ITA 59/HYD/2018[2010-11]Status: DisposedITAT Hyderabad28 Jun 2024AY 2010-11

Bench: Shri K. Narasimha Chary & Shri Madhusudan Sawdiaआ.अपी.सं /Ita No.59/Hyd/2018 (निर्धारण वर्ा/Assessment Year: 2010-11) M/S. Agarwal Sponge & Vs. Dy. C. I. T. Energy (P) Ltd., Circle 1(1) Hyderabad Hyderabad Pan:Aaeca8680P (Respondent) (Appellant) निर्धाररती द्वधरध/Assessee By: Shri Sunil Kumar Jain, Ca रधजस्‍व द्वधरध/Revenue By:: Ms. Sheetal Sarin, Dr सुिवधई की तधरीख/Date Of Hearing: 27/05/2024 घोर्णध की तधरीख/Pronouncement: 28/06/2024 आदेश / Order Per Madhusudan Sawdia, A.M: This Appeal Is Filed By Agarwal Sponge & Energy (P) Ltd. (“The Assessee”), Feeling Aggrieved By The Order Passed By The Learned Commissioner Of Income Tax (Appeals)-1, Hyderabad (“Ld.Cit(A)”) Dated 31.08.2017 For A.Y.2010-11. 2. The Assessee Has Raised The Following Concise Grounds: "1. The Order Of The Learned Cit(A) Dated 31/8/2017 Is Contrary To Law & Facts.

For Appellant: Shri Sunil Kumar Jain, CAFor Respondent: : Ms. Sheetal Sarin, DR

Section 115JSection 143(3)Section 234ASection 43

dated 31/8/2017 is contrary to law and facts. Page 1 2. The disallowance of the sum of Rs. 49,65,602/- as speculation loss is erroneous. The learned Assessing Officer and CIT(A) erred in not accepting the contention that the said amount cannot be treated as speculation transaction ... hence do not require any separate adjudication. 5. Ground No.2 of the assessee relates to disallowance of Rs.49,65,602/- on account of speculation loss. The brief facts with regard to this ground are that, during the year the assessee company incurred loss of Rs.49,65,602/- from Future & Option

Kalpesh Vaghasia, Mumbai vs. ITO-32(2)(2), Mumbai

In the result both the appeals are partly allowed for statistical purposes

ITA 215/MUM/2024[2010-11]Status: DisposedITAT Mumbai28 Jun 2024AY 2010-11

Bench: Shri Prashant Maharishi (Am) I.T.A. No. 214/Mum/2024 (A.Y. 2009-10) I.T.A. No. 215/Mum/2024 (A.Y. 2010-11) Kalpesh Vaghasia Vs. Ito-32(2)(2) 7Th Floor, 701, Kings Kautilya Bhavan Apartment, Juhu Tara Mumbai. Road, Mumbai-400 049. Pan : Aaepv7332E (Appellant) (Respondent) Assessee By Shri Prateek Jain Department By Shri R.R. Makwana Date Of Hearing 10.06.2024 Date Of Pronouncement 28.06.2024 O R D E R 1. These Are The Two Appeals Filed By The Assessee For Assessment Year 2009 – 10 & 2010 – 11 Against The Appellate Order Passed By The National Faceless Appeal Centre, Delhi (Learned Cit – A) Dated 17/11/2023 Wherein The Appeal Is Filed By The Assessee Were Disposed Of Ex Party Which Were Filed Against Assessment Order Is Passed Under Section 144 Read With Section 147 Of The Income Tax Act For Both The Years On 27/12/2016. 2. The Brief Facts Of The Case For Assessment Year 2009 – 10 Shows That The Assessee Has Not Filed Any Return Of Income. Subsequently The Information Was Received That Assessee Has Indulged In A Share Trading Activities In The Shares Of Caplin Point & Has Earned Short-Term Capital Loss Of ₹ 598,630/– Long-Term Capital Loss Of ₹ 51,709/– & Loss Of ₹ 2,393,177/– From Future & Option Transactions. However As Per The Broker Note The Assessee Has Made A Short-Term Capital Gain Of ₹ 191,103. Further The Future & Option Transactions Also Needs

Section 142Section 144Section 147Section 148Section 68

from National stock exchange and future and option transactions and short-term capital gain of ₹ 1,710,789/–. Further assessee has also on a speculation loss of ₹ 790,230/–. Accordingly the notice under section 148 of the act was issued and further notice under section 142 (1) was issued. Similarly

Kalpesh Vaghasia, Mumbai vs. ITO-32(2)(2), Mumbai

In the result both the appeals are partly allowed for statistical purposes

ITA 214/MUM/2024[2009-10]Status: DisposedITAT Mumbai28 Jun 2024AY 2009-10

Bench: Shri Prashant Maharishi (Am) I.T.A. No. 214/Mum/2024 (A.Y. 2009-10) I.T.A. No. 215/Mum/2024 (A.Y. 2010-11) Kalpesh Vaghasia Vs. Ito-32(2)(2) 7Th Floor, 701, Kings Kautilya Bhavan Apartment, Juhu Tara Mumbai. Road, Mumbai-400 049. Pan : Aaepv7332E (Appellant) (Respondent) Assessee By Shri Prateek Jain Department By Shri R.R. Makwana Date Of Hearing 10.06.2024 Date Of Pronouncement 28.06.2024 O R D E R 1. These Are The Two Appeals Filed By The Assessee For Assessment Year 2009 – 10 & 2010 – 11 Against The Appellate Order Passed By The National Faceless Appeal Centre, Delhi (Learned Cit – A) Dated 17/11/2023 Wherein The Appeal Is Filed By The Assessee Were Disposed Of Ex Party Which Were Filed Against Assessment Order Is Passed Under Section 144 Read With Section 147 Of The Income Tax Act For Both The Years On 27/12/2016. 2. The Brief Facts Of The Case For Assessment Year 2009 – 10 Shows That The Assessee Has Not Filed Any Return Of Income. Subsequently The Information Was Received That Assessee Has Indulged In A Share Trading Activities In The Shares Of Caplin Point & Has Earned Short-Term Capital Loss Of ₹ 598,630/– Long-Term Capital Loss Of ₹ 51,709/– & Loss Of ₹ 2,393,177/– From Future & Option Transactions. However As Per The Broker Note The Assessee Has Made A Short-Term Capital Gain Of ₹ 191,103. Further The Future & Option Transactions Also Needs

Section 142Section 144Section 147Section 148Section 68

from National stock exchange and future and option transactions and short-term capital gain of ₹ 1,710,789/–. Further assessee has also on a speculation loss of ₹ 790,230/–. Accordingly the notice under section 148 of the act was issued and further notice under section 142 (1) was issued. Similarly

N K Proteins Pvt. Limited, Ahmedabad vs. The Dy. Commissioner of Income Tax, Circle- 3(1)(1), Ahmedabad

In the result, penalty u/s 271(1)(c) of the Act is directed to be deleted and the appeal of the assessee is allowed

ITA 463/AHD/2022[2011-12]Status: DisposedITAT Ahmedabad13 Jun 2024AY 2011-12

Bench: Shri Siddhartha Nautiyal (Judicial Member), Shri Makarand V. Mahadeokar (Accountant Member)

For Appellant: Shri Vartik Choksi, A.RFor Respondent: Shri Ketan Gajjar, CIT-D.R

Section 194HSection 250Section 271(1)(c)Section 40

interest element which is not reflected in assessee’s account. Though the contention of the assessee is that it should not be taken as speculative loss, the test of speculative loss can only be determined when the transaction itself is speculative, but in the present case the transaction was that ... seller are present and not artificial then the said transaction cannot be treated as speculative transaction and the loss incurred thereon cannot be speculative loss. The contention of the Ld. D.R. that the N. K. Proteins and its client has executed T+3 and T+36 trade contracts itself establishes

Krishna Kumar Jalan, Kolkata vs. ACIT, Cir. 28, Kolkata

In the result, appeal of the assessee is allowed

ITA 354/KOL/2024[2015-16]Status: DisposedITAT Kolkata03 Jun 2024AY 2015-16

Bench: Dr. Manish Borad, Hon’Ble

For Appellant: Shri Sanjeev S. Verma, C.AFor Respondent: Shri Arup Chatterjee, Addl. CIT

Section 143(3)Section 250Section 43(5)

fold. First, that the ld. CIT(A) erred in treating the business loss from future and derivatives trading at Rs.16,19,235/- as speculation loss. Secondly, that the ld. CIT(A) erred in upholding the action of the ld. Assessing Officer making addition for LIC pension income of Rs.24 ... return belatedly, inadvertently made two mistakes. Firstly, treating the business loss from future & options and derivatives trading on recognised stock exchange as a speculation loss and secondly, forgot to reduce the LIC pension income of Rs.24,000/- from the net profit in the profit and loss account but offered

Heidelberg Cement India Ltd., Gurgaon vs. DCIT, Circle- 2, Gurgaon

In the result, appeal of the assessee is partly allowed

ITA 5823/DEL/2018[2014-15]Status: DisposedITAT Delhi15 May 2024AY 2014-15

Bench: Shri M. Balaganesh & Shri Anubhav Sharmaheidelberg Cement India Ltd, Vs. Dcit, 9Th Floor, Tower-C, Infinity Circle-2, Towers, Dlf, Cybercity, Gurgaon Gurgaon (Appellant) (Respondent) Pan: Aabcm2359J

For Appellant: Shri Harpreet Singh Ajmani, AdvFor Respondent: Mr. Waseem Arshad, CIT(DR)

Section 143(3)Section 71Section 74

exceptions provided in Chapter VI of the Income-tax Act which prohibit inter-head adjustments with regard to certain losses, such as speculation loss or the loss incurred in the activity of owning and maintaining race horses. 3. The view contained in paragraph 2 is reflected in the income

DCIT, New Delhi vs. M/S. J.K. Technosoft Ltd., New Delhi

In the result, the Appeal of the Revenue in ITA No

ITA 6160/DEL/2016[2009-10]Status: DisposedITAT Delhi30 Apr 2024AY 2009-10

Bench: Sh. Pradip Kumar Kedia & Sh. Yogesh Kumar U.S.Dcit Vs. J. K. Techno Soft Ltd. Circle 13(2) A-2, Shopping Complex, C. R. Building Masjid Moth, Greater New Delhi Kailsah Part-Ii New Delhi Pan: Aaacj0381L Appellant Respondent Assessee By Shri Neeraj Jain, Adv & Sh. Himanshu Goel, Ca Revenue By Shri Rajesh Mahajan, Sr. Dr Date Of Hearing 18/04/2024 Date Of Pronouncement 30/04/2024 Order

Section 115J

Company 11 DCIT Vs. J. K. Technosoft clearly falls within the definition of speculative transaction defined u/s 43(5) of the act and the speculative losses can only be set off against the speculative profits, the loss of Rs. 4,18,20,913/- debited to the profit and loss account ... Ground Nos. 3 to 3.3., the assessee contested the disallowance of loss on forward contracts, which ahs been treated by the A.O. as speculation loss and hence not allowed to be set off with the current year’s profit. The assessee has claimed loss on account of forward exchange contracts