TaxTMI 
TaxTMI 
Dear Sir,
Income from Real Estate business is tretated as Income from Business & Profession or Capital Gain or House Property when it is done on Proprietorship , Partnership Socitey .
Thanking You
Real estate
29 Jun 2012 
1 Reply 
1706 Views Asked by
Real estate income classification depends on transaction purpose; governs whether it is business, capital gain, or property income.
Income from real estate must be classified by examining background, circumstances and taxpayer purpose. Depending on that analysis, receipts may be treated as Business And Profession (trading/development), Capital Gain (transfer of capital asset), or House Property (rental income). The proper head of income is determined by intent, frequency, nature of operations and transaction structure. (AI Summary)
Income from real estate must be classified by examining background, circumstances and taxpayer purpose. Depending on that analysis, receipts may be treated as Business And Profession (trading/development), Capital Gain (transfer of capital asset), or House Property (rental income). The proper head of income is determined by intent, frequency, nature of operations and transaction structure. (AI Summary)