Business – Section 2(20) | Income-tax Act, 2025 vs 1961

§ 2(20) · Income-tax Act, 2025

Business

ITA 2025 · 2(20) ITA 1961 · 2(13)
Definition — Section 2(20)

Includes any trade, commerce or manufacture, or any adventure or concern in the nature of trade, commerce or manufacture.

Act Comparison
Income-tax Act, 2025
2(20)
Business
Income-tax Act, 1961
2(13)
Business
Key Points
  • Mirrors Section 2(13) of the 1961 Act
  • The phrase 'adventure in the nature of trade' captures one-time speculative transactions
  • Distinguished from profession which requires specialized knowledge
💡 Practical Note

A single transaction of buying and selling goods with a profit motive can be treated as 'business' income — it doesn't have to be ongoing or systematic.

Published by Simplified Tax India — Clear, section-wise comparison of Income-tax Acts. ← Back to Section 2 Definitions Table
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