PRAMOD KUMAR CHAUDHARY Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) THIS appeal by assessee is arising out of order of CIT(A) -XX, Kolkata in Appeal No. 246/CIT(A) -XX/Wd -36(1)/2006 -07/Kol dated 09.04.2012. Assessment was framed by ITO, Ward -36(1), Kolkata u/s. 143(3) of the Income -tax Act, 1961 (hereinafter referred to as the "Act") for AY 2004 -05 vide his order dated 26.12.2006.

(2.) THE only issue in this appeal of assessee is against the order of CIT(A) confirming the action of AO in treating the profit on sale of 12000 equity shares of Gautam Resources Limited (GRL) as Short Term Capital Gain (STCG) for the reason that the period of holding is to be taken as on the date on which shares were credited in the Demat Account of the assessee and the date of sale as the date on which equity shares were debited in the Demat Account of the assessee. For this, assessee has raised following three grounds:

(3.) WE find from the arguments of assessee and particularly CBDT Circular No. dated 28.04.1995 that the contract for purchase and sale of securities is to be taken as final document. The relevant para 2 of the Circular reads as under: