F & o transaction presentation in itr

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This query is : Resolved

Vivek B. Bhinde (Querist)

23 July 2014 Future & Option Business is not a speculative business, its a normal business as per Sec 43(8). Also the criteria for audit is different , it is covered in Audit if the Profit & Loss taken in absolute exceeds the 44AB Limit. But how is the presentation in the ITR is to be done. Whether the Total Sales Less Purchases is to be shown in ITR or in some other way it is to be done. For Eg. Total Purchases is suppose 1.20 CR & Purchases is 1.18 CR then the Loss is 2 Lacs. I Suppose in ITR we have to show Total Sales as 1.18 Less Purchases 1.20 Loss 2 Lacs Loss

Nikhil Kaushik

Nikhil Kaushik (Expert)

24 July 2014 turnover is to be computed on each contract basis. add profits on the contracts and add (-1)*loss on the contracts to arrive at the turnover.

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Vivek B. Bhinde

Vivek B. Bhinde (Querist)

24 July 2014 Sir it means that we do not have to show total Sales Less Purchase= Profit /Loss.
we have to Show just Profit/Loss in ITR ???

Nikhil Kaushik

Nikhil Kaushik (Expert)

24 July 2014 what I am saying is that your turnover is computed as I showed to you.

Vivek B. Bhinde

Vivek B. Bhinde (Querist)

25 July 2014 Thank You Sir.............................

Nikhil Kaushik

Nikhil Kaushik (Expert)