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

[asidnayak]

Hi,

I am new to stocks and am interested in long term investment. I have a query.
Is the amount that I invest in buying stocks taxable i.e can I show it as a part of the 1 lakh rupees that we need to invest in diff instruments to get tax exemption.

Thanks in advance

 

[diosys]

Hi,
I usually dont manage my tax issues, so my qs might be immature, just curious to know so could readjust my strategies in future......I have some long term investments in shares, but those shares are pledged in brokers account, on that said shares i have written option calls regularly and so i have gains in derivatives sections , now my qs is 1) will those holding shares which been pledged still falls under long term investment as those are in my demat account since many years 2) if so is it there a way so i can set off my short term capital gain tax by losses of long term investment? ( a i think taxation rates are different for different types of capital gains )
Thanks in advance
Alex

Ans 1.) Yes, they are still and will be long term
Ans 2.) No, short term gain cannot be set off with long term loss

 

[diosys]

I have salaried income and tax is deducted at source for me. Also have some tax being paid on my Fix deposits. I also buy shares most for fun of it. But this time got around in trouble due to market conditions. Need your help understand is there any way to compensate my losses in stocks with the tax paid on my salary when I file my returns. I have no gain this year in stocks, it is all loss.

Tried going throught this thread but counld not get the details.

:thumb:

If you have been doing regular day trading then the loss cannot be set off from the salary income....though it can be carried forwarded

If the investment was done and not regular day trading then set off is possible to reduce your tax outgo....In that case file your return and claim a refund.

 

[diosys]

Diosys,

Also consider this while answering to alex question.

Some % of interest is charged for the money loaned by pledging.

Haribird.

Since this would form part of business income hence deduction of interest paid would be allowed.

 

[diosys]

Re: I have some doughts about tax related to share market

Hi,

I live in India Bangalore I have an account in GCI financial online share trading account and I need to withdraw some amount, my worry is will that amount be applicable for tax in India if I receive the money to my Indian account.

And also please help me to understand how to calculate the tax amount receive from outside Indian account. Is there any limit of receiving amount from other share account outside India? If so where can I see the tax slabs and calculation for the same?

If I receive money from GCI accounts to my Indian account, will that amount be applicable for tax if so please advice me how to do it.

Thanks in advance,
Asim

Tax is on Income and not on transfers.... If you have earned in India then only you are liable for tax on it.....If transferred then there would be no income tax on it.

 

[diosys]

sir,
i have a ppf account for past 2 years and saving 70,000 per year for tax savings. is it legally possible for me to open one more account(in the same bank) in the name of my child for whom i will be the guardian?
This second one is for savings and not for tax savings.
can you please clarify it?

yes it can be done...OR atleast should be allowed to be done....Please confirm with the concerned bank.

 

[diosys]

Hello Guys!
I have a query. Recently one of my friend got the explanatory letter from

Tax department of Rs 100000 one time deposit in back in 2004.

Tax department also mentioned to produce the proof from where this money came?

He is a farmer and he only has income of agriculture or his saved money only.

In this case what document should he produce to Income tax department to satisfy Tax department.

Have a nice day ahead!

Maybe get fictitious sale receipts of the produce....those only seem the way out....

 

[diosys]

Hi,

I am new to stocks and am interested in long term investment. I have a query.
Is the amount that I invest in buying stocks taxable i.e can I show it as a part of the 1 lakh rupees that we need to invest in diff instruments to get tax exemption.

Thanks in advance

No, it is not allowed

 

[TFL]

No, it is not allowed

Good to see you back Diosys and your website.

[A.1] Is it legal for an Indian to trade forex (I mean the EUR/USD like and not INR) ?
[A.2] Is it legal to transfer funds to paypal/wire to fund foreign broker a/c for forex ?
[A.3] Is it legal to get some USD in paypal from someone and pay him here in INR ? Will there be any tax issues ?
[A.4] Is the money earned through forex outside is taxable here (since we are not even get taxed outside india to this forex earnings) ?

[B.1] Is it legal for an NRI to trade forex (I mean the EUR/USD like and not INR).
[B.2] Can I(non-NRI) get funds like below for forex trading?
------------FATHERS NRE A/C -> HIS Credit Card -> HIS PAYPAL -> TO SON's PAYPAL -> TO MY BROKER -> PROFIT TO MY PAYPAL -> TO MY BANK
------------Is the whole amount taxable here? or only profits?
------------Will it comes under GIFT TAX (0 TAX) ?

Sorry for the dumping questions.

 

[TFL]

No, it is not allowed

Good to see you back Diosys and your website.

[A.1] Is it legal for an Indian to trade forex (I mean the EUR/USD like and not INR) ?
[A.2] Is it legal to transfer funds to paypal/wire to fund foreign broker a/c for forex ?
[A.3] Is it legal to get some USD in paypal from someone and pay him here in INR ? Will there be any tax issues ?
[A.4] Is the money earned through forex outside is taxable here (since we are not even get taxed outside india to this forex earnings) ?

[B.1] Is it legal for an NRI to trade forex (I mean the EUR/USD like and not INR).
[B.2] Can I(non-NRI) get funds like below for forex trading?
------------FATHERS NRE A/C -> HIS Credit Card -> HIS PAYPAL -> TO SON's PAYPAL -> TO MY BROKER -> PROFIT TO MY PAYPAL -> TO MY BANK
------------Is the whole amount taxable here? or only profits?
------------Will it comes under GIFT TAX (0 TAX) ?

Sorry for the dumping questions.