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

[vasa1]

Diosys, here are a few queries! Please help...

I understand that intra-day trading profits are regarded as business income. Can investment u/s 80C be used to reduce one's taxable income earned by intra-day trading?

Is it true that short-term capital gains won't get the benefit of section 80C?

Is it true that your assessing officer has the power to declare that your income from short-term capital gains is actually business income depending on the frequency, volume, turnover, etc. if he feels that that would make you liable to pay more tax (since STCG is now taxed @ 15% + surcharge, cess, etc.?

Depending on one's total income and frequency, volume, turnover, etc. , could one claim that the STCG is actually business income and then qualify for 80C? This is for people whose total taxable income would work out to be taxed at less than 15% (the STCG rate?).

 

[gabbar.singh]

Isn't there a way to file a complaint online?

Sorry Gabbar....there is no such common answer which can be given....There can be several reasons why the refund has not been issued....

Nevertheless what i would suggest is that try to meet the commissioner of Income tax in your city and put forward your case...Maybe he would be able to help you...

Otherwise hire a able professional in your city so that he may be able to expediate the refund.

 

[diosys]

Diosys, here are a few queries! Please help...

I understand that intra-day trading profits are regarded as business income. Can investment u/s 80C be used to reduce one's taxable income earned by intra-day trading?

Is it true that short-term capital gains won't get the benefit of section 80C?

Is it true that your assessing officer has the power to declare that your income from short-term capital gains is actually business income depending on the frequency, volume, turnover, etc. if he feels that that would make you liable to pay more tax (since STCG is now taxed @ 15% + surcharge, cess, etc.?

Depending on one's total income and frequency, volume, turnover, etc. , could one claim that the STCG is actually business income and then qualify for 80C? This is for people whose total taxable income would work out to be taxed at less than 15% (the STCG rate?).

Dear Vasa,

1.) 80C can be used for deduction from business income....

2.)Yes, STCG and LTCG do not get the benefit of 80C....

3.) The ITO can put the amount claimed by you as STCG as business income if feels so...but for the same he would have to determine that your intention was to trade and not invest....Please go through the first page of this thread to understand....

4.) Yes, it is correct to go in for Business income in that scenario....

 

[diosys]

Isn't there a way to file a complaint online?

Please file an RTI (right to information) application with the department...You would come to know the reason...

 

[vasa1]

Diosys:
This is such a useful thread that I wish Traderji would make provision for us to download it as one large file instead of viewing it page by page.

There's pressure (at home) for me to quit hogging the net

 

[balraj167]

short term gain from swing trading?

Dear diosys,

first i want to thanks you that you have start this thread to solves tax related problems i think this thread will go further.

I stay in Kuwait i would like to do swing trading if i have purchase a share RS50,000 sell it with 25% after one week i.g. profit 12500 so tax will deducted how much the tax will be duducted, is there any limitation that below such amt tax will not be duducted. as i m new please guid me.

best regards
balram

 

[diosys]

Re: short term gain from swing trading?

Dear diosys,

first i want to thanks you that you have start this thread to solves tax related problems i think this thread will go further.

I stay in Kuwait i would like to do swing trading if i have purchase a share RS50,000 sell it with 25% after one week i.g. profit 12500 so tax will deducted how much the tax will be duducted, is there any limitation that below such amt tax will not be duducted. as i m new please guid me.

best regards
balram

Dear Balram,

I dont suppose there would be any tax deduction .... Only you would have to pay tax after the financial year ending....

Please go through the DTAA agreement between India and Kuwait (if any)...It would be available at the income tax website..

 

[gabbar.singh]

Please file an RTI (right to information) application with the department...You would come to know the reason...

I don't live there. Is there anyway to file RTI application online?

 

[diosys]

I don't live there. Is there anyway to file RTI application online?

As per my limited knowledge there is not such a system....

 

[vasa1]

A senior citizen makes a deposit u/s 80C. This has a lock-in of 5 years. On the basis of the 80C benefit, tax is not required to be paid for the relevant year. Now, a couple of years later, the senior citizen dies. What happens to this FD? Is it still in lock-in? Who reports and pays tax on the deceased senior citizen's FD?

In general, what are the problems tax-wise that the survivors have to deal with and be prepared for?