Calculation of turnover for share trading

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Rakesh Sharma (Querist)

11 March 2017 dear experts,

please advise me how to calculate turnover for audit purpose as per given below details :-
1. how to calculate turnover for audit purpose when we purchase and sale shares on same day i.e. future & option.
2. purchase and sale of shares on different day and STT is paid. holding period below 1 year
3. purchase and sale of shares on different day and STT is paid. holding period above 1 year.

please guide me and advise as per serial number.

thanks regards,

rakesh kumar

CA DHAVAL MISTRY

CA DHAVAL MISTRY (Expert)

13 March 2017 In case of Trading in shares and securities, for the purpose of section 44AB
a) Profit / Margin earned is to be treated as Turnover in case of Intra-day sale and F&O Trading
b) In case of STT Paid and shares sold within 1 year, sale amount of shares is to be considered as turnover u/s 44AB
c) In case of STT Paid and shares sold after 1 year, Sale amount of shares is to be considered as turnover u/s 44AB
You will not get the benefit of long term capital gain exemption in case of business income.

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Rakesh Sharma

Rakesh Sharma (Querist)

14 March 2017 thanks a lot sir

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