Dear Asit,

It can fall under any of the heads, depending upon the nature of transaction
like simultaneous/frequent sale-purchase, shares purchased for dividend, intention of holding it, treatment in books of accounts, among others........

You may refer the case of Rohit Anand vs. CIT (Delhi HC) for your reference...

Best Regards,
CA Lovely Arora
ca.lovelyarora @ gmail.com

In general parralance of Income Tax Trading of Shares through DMAT

If the Date of Debit and Credit in DEMAT account is same that it is treated as speculation income PGBP

If the dates are different than it is treated as Capital Gains (Short Term)

for a normal individual who is investing in shares

For trader it would be stock in trade whatever shares he is holding and would be treated as PGBP his stock should be revalued to Market price or Cost whichever is lower as on 31st March