Income from F&O

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This query is : Resolved

Udit Sethi (Querist)

07 June 2010 I am a salaried person, doing some share market transactions in cash as well as F&O segment. Please advise as to the profit (if any) from the F&O segment and also from cash segemnt is to be treated as BUSINESS INCOME or INCOME FROM OTHER SOURCES?

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)

07 June 2010 INCOME FROM OTHER SOURCES

Rahul Gupta

Rahul Gupta (Expert)

08 June 2010 Agreed..It will form part of Income from Other sources.

Udit Sethi

Udit Sethi (Querist)

08 June 2010 Thank you for your advise. But a bit more clarification. I had taken an advise from a CA, who informed me that the profit from F&O can be treated as BUSINESS INCOME, from cash segment can be treated as CAPITAL GAINS and the return can be filed using ITR 4 form and in the BUSINESS INCOME ward of IT dept. Kindly advise.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)

08 June 2010 It depend on the frequency of transactions. If it is a regular business same can be treated as business income and return may be filed using ITR4. But it cant be treated as capital gains.

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