1 IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.1594 OF 2007 The Commissioner of Income Tax – 4, Mumbai ..Appellant. Versus M/s.Satco Securities & Financial Services Limited ..Respondent. Mr.Suresh Kumar for the appellant. Ms.Preeti Shukla i/by Mr.Ravindra G. Bhat for the respondent. CORAM : V.C. DAGA & J.P. DEVADHAR, JJ. DATE : 14TH SEPTEMBER 2009 P.C. : 1. Heard learned counsel for the parties. The appeal was admitted on 22-7-2008 on the following substantial questions of law : a) Whether on the facts and circumstances of the case and in law the Tribunal was correct in holding that the membership of Bombay Stock Exchange is a capital asset even though as per the decision of the Hon’ble Supreme Court in the case of Stock Exchange, Ahmedabad V/s. ACIT; and Bombay High Court in the case of the Stock Exchange Bombay V/s. V.S. Kandalgaonkar ACIT and others; membership of the Stock Exchange is only a personal privilege granted by the Stock Exchange to the member ? b) Whether on the facts and circumstances of the case and in law, the Tribunal failed to consider that the basic ingredients of ownership are not present in the BSE Membership Card and, therefore, the assessee cannot claim to be its owner for the purpose of claiming depreciation on the same. 2 2. The above questions of law are squarely covered by the Division Bench Judgment of this Court in group of mattes, lead appeal being Income Tax Appeal (L) No.971 of 2006 (Commissioner of Income Tax – 4 V/s. M/s.Techno Shares & Stocks Limited) decided on 11 th September 2009 . For the reasons recorded therein, both the questions are answered in favour of the revenue and against the assessee. 3. The appeal is accordingly allowed with no order as to costs. (J.P. Devadhar, J.) (V.C. Daga, J.)