I have a query on tax treatment of intraday charges (like STT, brokerage, Exchange charges and all other taxes) that we incur during intraday trading (speculative business income).
Can intraday charges be used to show as expense for business income to reduce taxable income for current FY or do these charges have to be carried forward similar to intraday losses and can be set off only against speculative gains in any of the next 4 FYs
Eg. For FY 2016 – 2017 my intraday charges are Rs.1000, intraday losses Rs. 3000 and business income is Rs.50000 so can I reduce my business income by intraday charges ie Rs.1000 to show my taxable income as Rs.49000 for FY 2016 - 2017
Thanks
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I am partner in a firm.Suppose the firm's turnover For the F.Y. 2016-17 is Rs.48,00,000/-. Net Profit before interest to partner and salary is 9,00,000/- LAKHS Now if i want to file return under 44AD i will have to Pay tax on Rs. 2,88,000/- (i.e,6% of 48 Lakhs). So can i give interest and remuneration to partner for the balanced amount of Rs.6,12,000/- (9 Lakhs - 2.88 Lakhs) to make my profit as per section 44AD ? As in section 44AD it is mentioned that no salary or interest is allowed as deduction, does it mean that we can not deduct salary and interest from 2.88 Lakhs and can only deduct from 9 Lakhs or does it mean that we cannot at all give remuneration or interest to partner in case we are opting for 44AD and i will have to pay tax on 9 lakh rs. ?
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It is a subsidiary company . Chinese company is a holding company .
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thanking you sir....
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Tax treatment of intraday charges