1.

When capital gain is assessed on notional basis as per the provisions of sec 50C, and the higher value i.e. the stamp duty value of Rs. 36 lac u/s 50C has been adopted as the full value of consideration, the entire amount of Rs. 24 lac reinvested in the residential house within the prescribed period should be considered for the purpose of exemption u/s 54F, irrespective of the source of funds for such reinvestment. — Gouli Mahadevappa (2013) 356 ITR 90 (Kar)

2.

Can exemption u/s 54EC be denied on account of the bonds being issued after six months of the date of transfer even though the payment for the bonds was made by the assessee within the six months period? Held that for the purpose of sec 54EC, the date of investment must be regarded as the date on which payment is made. If such payment is made within a period of six months from the date of transfer, the assessee would be eligible to claim exemption u/s 54EC— Hindustan Unilever Ltd. (2010) 325 ITR 102 (Bom)

3.

In the case of an assessee, being a dealer in shares and securities, whose portfolio comprises of shares held as stock-in-trade as well as shares held as investment, is it permissible under law to convert a portion of his stock-in-trade into investment and if so, what would be the tax treatment on subsequent sale of such investment? Held that the gains arising on sale of those shares held as investments by the dealer-assessee (i.e. the difference between the sale price and the fair market value on the date of conversion) were to be assessed under the head "capital gains" and not under the head "Profit and gains of business or profession"— Yatish Trading Co. Pvt. Ltd. (2013) 359 ITR 320 (Bom)