PGBP or Capital Gains

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my business is purchasing land, constructing houses and selling the land and house.

i buy 1-2 plot of land and construct 1-2 houses during a year

should I show this as business income or capital gains?

while purchasing i register the property in my name.
Replies (3)


The income from purchasing land, constructing houses, and selling them would generally be classified as business income rather than capital gains. This is because you are engaged in a regular and systematic activity of buying land, constructing houses, and selling them, which aligns with the definition of a business. The fact that you register the property in your name during the purchase further supports the classification of this income as business income.

It's to be offered under pgbp
Okay thank you,

Year 1- I show the income as PGBP
Year 2 - I show Capital Gains income
Year 3 - I show the income as PGBP

can I do this?


CCI Pro

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