INDIVIAL ASSIGNMENT.
FACILITATOR : BONITHA M.
SEMESTER : IV
QUESTION. Define the year of income for tax purposes and clearly distinguish between the year
of income for an employee and that of a self- employed person.
Year of income for tax purpose,
section 20(1) provides the definition of the year of income as the calendar year such that it
starts from the 01st January to December 31st .for example the year of income 2017 starts from
the 01 July 2017 and ends 31st June 2017 , not necessary start January to December.
An individual income from employment for the year of income shall be the individual gains or
profit from employment of the individual for the year of income.
Income from business or self- employed . Section 8 (1) Income Tax Act.
An individual income from business for the year of income shall be the individual gains or profit
from business of the individual for the year of income