Maintainance of books & audit in case of future & options tr

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Querist : Anonymous

Querist : Anonymous (Querist)

20 July 2013 I am having loss from future & options transactions during FY 2012-13 AY 2013-14. Will audit of books be compulsory to carry forward loss , even though my turnover is less than 10 lakhs

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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20 July 2013 no in the present info given no tax audit is applicable.

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Querist : Anonymous

Querist : Anonymous (Querist)

20 July 2013 Actualy i am confused about....

If there is a loss in F&O & even though my turnover is less than limit prescribed under section 44AB (Rs. 1 crore from the FY 2012-13),will provisions of section 44AD will apply and accordingly audit of books of
accounts will also be required to carry forward f&o loss

CA Siddhartha Bhardwaj

CA Siddhartha Bhardwaj (Expert)
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14 August 2013 As per Section 44AD(5) an assessee who claims income less than 8% of turnover AND whose TOTAL INCOME EXCEEDS the MAXIMUM AMOUNT NOT CHARGEABLE to tax is required to get his accounts audited.

In case of loss, the total income DOES NOT EXCEED the maximum amount not chargeable to tax.

Accordingly audit is NOT required to carry forward loss.

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