INCOME FROM PROFIT BUSINESS / PROFESSION

What is Capital Gain ?

According to Income Tax Act, 1961 income under this head is defined as the income earned by assessee as a profit or gain in his business or profession. Income under this head must follow these conditions:

• There must be a business/ profession
• Business/ profession is being carried by assessee
• Business/ profession have been carried out by assessee in assessment year for which income tax is filling

• Profits and gains of assessee from any business or profession during assessment year
• Any payment or compensation due or received by a person for his services to organization as a part of his business
• Making profit in trade Income of professional or organization against services provided by that professional/ organization
• Profits on sale of a license granted under the Imports (Control) Order, 1955, (EXIM control Act, 1947)
• Cash received or due by any person against exports under government schemes
• Any benefit whether it is not in cash coming from business/ profession
• Any profit, salary, bonus or commission received by company partners