gaurav panwar (ca) (57 Points)
16 June 2013In sec 28 of income tax act, it is given that income derived by trader, proffessionaland any other related association from special service performed for it member, then it is taxable under BPV head.
Can any one explain meaning of special service ( which type of service) and also give example related to its.
Anoop Shrivastava
(Free Lancer)
(476 Points)
Replied 16 June 2013
Dear Gaurav,
VG Sir elaborated this point into taxability of Mutual Concern
Income of a Mutual Concern is taxable in the following circumstances:
a) Where the mutual concern is a trade, professional or similar association, then the income derived from specific services performed for its members is taxable as Profits and Gains of Business or Profession under Section 28. However if mutual concern is resident welfare association, sports club, etc then the income derived from specific services performed for its members is not taxable.
girish pareek
(25 Points)
Replied 05 December 2018
Can you explain Section 28 (iii)
Compensation received by a person for vesting management of property tom govt. or govt co. under any law
Any Example and why Compulsory Acquisition is not covered here....???
CAclubindia
