regarding share future trading

This query is : Resolved

Ajay (Querist)
Follow

18 September 2010 stock market future trading is no more speculative income
if Mr.x whose gross profit n loss in FnO market is more then 10 lack/ 40 lakh
is it mandatory for him to prepare books/have tax audit
if Mr.x challenge that its his Income from "income from other source"
plz guide with reasons

Aditya Maheshwari

Aditya Maheshwari (Expert)
Follow

18 September 2010 F& O in shares is non speculative business income. Turnover is profit + loss. If it exceeds Rs. 40 lakhs then liable for tax audit.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
Follow

19 September 2010 By virtue of proviso (d) to section 43(5) inserted by the Finance Act,2005 w.e.f 01/04/2006,eligible transactions in derivatives shall not be deemed to be a speculative transaction. In view of that, if the absolute value of the profit and loss exceeds Rs.40/- lakhs (now increased to Rs.60/-lakhs) tax audit of the accounts are mandatory.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

BABUSHANKAR BASAPPA

DURGA TANDEL

R.Prashanth

swaminathan

CA Rahul Patwardhan

Subscribe Now

regarding share future trading

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA