There are many sources of income, but capital gain one of the most important sources of income. Following are the considerable exemption to avail maximum benefits with new section 112A & maximum tax planning is also needed in capital gain income. Capital Gain is usually distinguished from other kinds of income. Income earned by dealing “in” assets or property is business income. Income earned on sale of assets “with” which business is done, is “Capital Gain”. This is a basic difference.

KEYWORDS:  Capital Gain, Business Income, Sale of Assets, Securities Transaction Tax (STT).