Multiple business units

Tax queries 420 views 2 replies

CB Ayer

Others

27 Points Posted on 21 December 2013

Any thoughts. Appreciate early response and advance thanks.

Replies (2)

CA. Kuldeep Singhi

Entrepreneur

424 Points Posted on 22 December 2013

Income tax has to be paid combinedly by a pvt. ltd. Co. for all the business units but under diff. sources of income. Property income under income from house property if it is rental income otherwise business if business is of purchase & sale & others as business income & if possible records should be separately maintained for all the businesses

CB Ayer

Others

27 Points Posted on 22 December 2013

Originally posted by : CB Ayer

Is it allowed to have multiple business units under 1 private limited company? Is it mandatory to split business unit transactions/incomes? I have 3 business units property income, software income and trading income. Is there a combined tax implication or should I pay income tax on individual business units? Is there a special provision in income tax act which prescribes premises income to be sperated and calculated income tax seperately?

Any thoughts. Appreciate early response and advance thanks.

Thanks for the reply. Can I set off annual business losses against other business units? Say loss from trading against profit from rental income? NOT long term capital gains.

Thanks again