Ltd. is in the business of real estate and builds & sells properties. It got the certificate of completion of construction from the authorities on 20-06-2017. It did not use the building for any purpose nor could it sell the property. It is the policy of the company not to let out any vacant property. The income from building will be.
A. Taxable on notional basis based on Annual value from 2017-18.
B. Taxable on notional basis from financial year 2018-19.
C. Taxable on notional basis from financial year 2019-20, if still held as stock in trade.
D. Will not be taxable as it is held as stock in trade.
Answer:C
Ltd. is in the business of real estate and builds & sells properties. It got the certificate of completion of construction from the authorities on 20-06-2017. It did not use the building for any purpose nor could it sell the property. It is the policy of the company not to let out any vacant property. The income from building will be.
A. Taxable on notional basis based on Annual value from 2017-18. B. Taxable on notional basis from financial year 2018-19. C. Taxable on notional basis from financial year 2019-20, if still held as stock in trade. D. Will not be taxable as it is held as stock in trade.