09 September 2010
The nature of transaction (investment or business) is mainly differentiate according to their quantum. As per circular no. 4/2007 and notification no. S.O. 89(E)[year not remind], if the transactions are much then it should be consider under business income. If the shares are held for dividend purpose then it should be consider as investment. In nutshell, if the transactions is much then it should be consider under business. If the turnover is low, then you may consider as investment.
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