BUsiness income or Professional income

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This query is : Resolved

R K Choudhary (Querist)
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17 October 2010 During the course of scurtiny assessment, the assessing officer has treated the Brokerage received from Mutual Funds as income from Profession. The assessee has claimed it to be as income from business, gross turnover far less than 40 lacs, but more than 10 lacs in 3 years.. He also invoked and applied the provisions of section 44AB and 40(a)(ia).

Can someone provide me some case laws/circulars/instructions, wherein this nature of income has been accepted as INCOME FROM BUSINESS.

Abhay Gujarathi

Abhay Gujarathi (Expert)
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18 October 2010 It is Business Income.. And the same is covered under code 0808 of Financial Service Sector as " Share broker or Sub Broker ". Whether u r client is Company ???

CA Sanjeev Kr Jain

CA Sanjeev Kr Jain (Expert)
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18 October 2010 also your activity is not covered under definition of profession as given under section 194-J & section 44AA

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