Head of income
Rajat Sharma (Accountant ) (574 Points)
27 July 2019My customers sir please advice me in which head I show my said income i. e. Income from business and professional or any any other head. Thanks
Rajat Sharma (Accountant ) (574 Points)
27 July 2019
Suresh Thiyagarajan
(Student)
(3986 Points)
Replied 27 July 2019
1. There was a wide debate on the exact meaning of the profession. Case laws and dictionary meanings were referred for figuring the exact meaning of profession.
2. A profession should involve specialized skill and intellectual talent in order to be considered a profession. In your case since the content is provided by the client then mere writing cannot be considered a profession.
3. But if not profession then the next angle would be to look at it as a business. Business involves trade in its widest term and profit on the sale of a product. But we have witnessed certain incomes which are not business and still considered as a business for instance commission income. Income from the commission is considered as a business and not a profession.
4. From the above analysis if it only involves mere writing where content is already is provided by the client it cannot be considered as a profession. If the content is of own then it will be considered as professional and receipts from the same would qualify as a profession.
5. It is only based on my own analysis, for any further clarification, it is better to consult an expert.
Please correct me of the above interpretation has an alternative view.