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Judgment
The appellant is aggrieved by an order dated 25-8-2006 passed by the Income Tax Appellate Tribunal, Delhi Bench ''G'', New Delhi, in ITA No. 3767/Delhi/2004 relevant for the assessment year 2001-02.
The assessed carries on business activity, inter alia, dealing in shares and earning interest income on monies lent.
The assessed incurred a loss in the sale of certain shares and claimed a set off against the interest income. While the assessing officer came to the conclusion that the transaction was not genuine, the Commissioner (Appeals) as well as the Tribunal came to the conclusion that since the main business activity of the assessed was speculation business, it was not entitled to set off the loss in view of the Explanation to Section 73 of the Income Tax Act, 1961.
We are in agreement with the view that has been taken by the Tribunal and departmental authorities. For the reasons given by the Tribunal, namely, that the principal business activity of the appellant was dealing in shares and for this reason any loss incurred by the appellant in the sale of shares cannot be set off.
We do not find any substantial question of law that arises for our consideration.