A person, who is a building planner & surveyor, working in individual capacity, i.e, he is sole proprietor. He prepares the Profit & Loss A/c and Balance Sheet for his profession.
Now, he is planning to involve into a construction project (Housing Complex) with another person who is a promoter. The terms of the project are both of them have to invest money into that project and after completion of the construction when the Flats will be sold then the revenue shall be shared equally between them.
I think this partnership as temporary in nature, can be treated as either Unregistered AOP or Unregistered Partnership. Whether I am correct?
In that case how the revenue from the selling of flats will be assessed? Whether in the hands of the Unregistered AOP or Unregistered Partnership or the toal revenue (50% ,i.e, his share in the revenue) and related expenses has to be included in his Profit & Loss A/c as well as Balance Sheet?
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