Profit earned from cultivation of Prawn and Fish

[Lakshmi NV]

One of my Clint has taken 450 acres of wetland on lease and cultivated prawn and fish and he has earned a profit of ₹ 40 lahk from such cultivation .is this income agricultural or business.

[DR.MARIAPPAN GOVINDARAJAN]

In my view it is business income

AI Summary

Classification of aquaculture income: prawn and fish cultivation on leased wetland treated as business income. Whether profit from cultivation of prawn and fish on leased wetland constitutes agricultural income or business income is posed. The taxpayer leased 450 acres of wetland for aquaculture and reported profit from the activity. The expert response concludes that income from such prawn and fish cultivation carried out on leased wetland constitutes business income rather than agricultural income, reflecting a commercial enterprise engaged in production for sale.