Fire your tax related queries and i would get it solved!!!

[ankur07090]

Yes ,your profit of Rs 1 L gets added to salary and then you have to pay Income Tax on it....

Smart_trade

:annoyed:
But ST sir, My salary always tax deducted if I had not submitted the investments details proof. So for that I am paying the taxes... Am I right...?

Now only I have to take care of taxes on this trading business profit if any

 

[niftygupshup]

You need to read some basics (along with some advanced readings) about the taxation (income tax) system
IMO, read Zerodha articles on taxation.

 

[nac]

In my case turnover in derivatives is 32 lacs and loss is 67k. So I will be exempt from audit. Right?

No you are liable to pay tax on 8% of 32 as profit. Else if u want to save on that u have to pay auditor to get an audit done.

This is TOTALLY WRONG.

Guys, if you're not sure please don't give wrong information.

If your gross income from all other sources is less than 2.5 L per annum then no audit.

Square, read this (ST's comment) again and again and don't ask again whether your case is audit or not.

:annoyed:
But ST sir, My salary always tax deducted if I had not submitted the investments details proof. So for that I am paying the taxes... Am I right...?

Now only I have to take care of taxes on this trading business profit if any

The tax (aka statutory levies) deducted by your broker for intraday trading in cash segment is not INCOME TAX. So you have to pay tax for profit you make from trading provided your profit+other income is above basic exempt limit.

 

[jain.er]

This is TOTALLY WRONG.

Guys, if you're not sure please don't give wrong information.


Square, read this (ST's comment) again and again and don't ask again whether your case is audit or not.


The tax (aka statutory levies) deducted by your broker for intraday trading in cash segment is not INCOME TAX. So you have to pay tax for profit you make from trading provided your profit+other income is above basic exempt limit.

This is information is valid assuming you are earning to feed yr family and generate your trading capital ie total income more than 2.5lacs. Boos 50lac ka turnover kar raha hai, 50k ka loss khaa raha hai tau 3/4 lac ki salary tau mil.hi rahi hogi naa....

Sent from my AO5510 using Tapatalk

 

[canikhil]

In my case turnover in derivatives is 32 lacs and loss is 67k. So I will be exempt from audit. Right?

If you dont't have salary income in excess of Rs 2.5 lakhs, then yes...

 

[Square]

If you dont't have salary income in excess of Rs 2.5 lakhs, then yes...

It is above 2.5 lac p.a. Then would it need auditing.

 

[canikhil]

It is above 2.5 lac p.a. Then would it need auditing.

Yes. That is what the law says.

 

[FnOtrader80]

For them the turnover is the gross value of contracts!. So don't bother about threshold limits etc. Be assured that sooner or later, anyone/everyone filing ITR-4 ends up with a tax notice.

Please suggest during scrutiny proceeding how do we convince them that according to ICAI guidlines it is the sum of profits and losses ?

 

[ankur07090]

Yes. That is what the law says.

Then for only salaried person (No trading and other business) having salary more than 2.5 lkh they also need auditing.
Sorry for this noob question

 

[Smart_trade]

Then for only salaried person (No trading and other business) having salary more than 2.5 lkh they also need auditing.
Sorry for this noob question

This provision applies if one has business activity ...stock market trading is a business activity and trading profit/loss is profit/loss from business.

Smart_trade