Clause 10 of Form 3CD mandates disclosure of the nature of every business or profession carried on by an assessee during the previous year. The codes for all main activities (principal line of each of the business or profession) shall be reported.
Any material change in the nature of business should be precisely disclosed. The change will include a change from manufacturer to trader and a change in the principal line of business. Any addition to or permanent discontinuance of a particular line of business may also amount to change requiring reporting. However, temporary suspension of the business may not amount to change and, therefore, need not be reported.