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2013 (7) TMI 541 - HC - Income TaxClassification of Income - Business income or income from other sources - whether the income earned from activity of sale of shops commenced by the assessee during the year is to be considered as business income or income from other sources.– Held that:- The income should be treated as a business income - assessee being a cooperative society, had, after appropriate permission from the District Registrar of Cooperatives, developed two plots of land by demolishing the office and godown and constructed shops and such shops were sol - this was purely commercial activity and was aimed at reducing the assessees losses - Proper resolution was also passed by the cooperative society before undertaking such an activity – the purpose of construction of the commercial complex and the sale of shops was done with the sole intention of engaging itself into a commercial activity and the construction and sale of shops was only with a view to earn profit to increase the revenue – further assessee owned the land also - the income is in the nature of business income – appeal decided against the revenue.
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