Under which head my Income is Taxable?

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I'm a builder. I always used to buy a land and build a house or shops etc. on it and sale it. it is my ordinary course of business. Generally after completion of construction within 2-3 Month I sold house or as a case may be.
4 year ago I purchased a land and built 2 houses but i unfortunately I couldn't sold it and as a result I'm still owner of it.
Now I'm got customer for this and I sold it in March 2018 but registration will be after March i.e. In April 2018

Please guide me that should I pay tax under The Head Capital Gain or Income from business and profession ??
please note that it is my normal course of business
is any provision that if builder is not sold building within 2 year that it is treated as capital Gain??
Replies (4)
As per my personal opinion, it is covered under INCOME UNDER THE HEAD BUSINESS AND PROFESSION.

IT IS MY PERSONAL OPINION, IF ANYBODY HAVE DIFFERENT VIEW THEN VIEWS ARE WELCOME. THANKS. DISCLAIMER: IT IS NOT PROFESSIONAL ADVICE.

If you are in regular business of developing Real estate properties/civil construction etc then this developed property can be treated as "Stock in trade" and not as Capital asset...so any income arising out of it will come under PGBP (profits and gains of business or profession).

 

Allahabad High Court in the case of CIT vs. Kan Construction And Colonizers P Ltd. 70 DTR 169 (All) and Madras High Court in the case of CIT vs. Thiruvengadam Investments P Ltd. 320 ITR 345 (Mad) held that Section 50C has limited applicability to capital gains’ assessment and can not apply to assessee holding land or building as trader (stock in trade) and assessed for the same under the head “Income from business”.

Agreed with Mr. Khalid
thank you sir

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