taxation

This query is : Resolved

himansu kumar samal (Querist)
Follow

01 August 2010 my client is temporaily trading in land & making profit.whether land development expenses & compensation to seller excluding that mentioned in the sale deed is allowable expenses in income tax? is there any other expenses head in this category?

CA SURENDRA KUMAR RAKHECHA

CA SURENDRA KUMAR RAKHECHA (Expert)
Follow

02 August 2010 Activities in nature of trade or adventure in nature of trade is income from business or profession.

Expenses relating to the business activities are allowable expenditure.