Speculative business income

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Neelam Prakash Sharma (Querist)
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05 April 2012 Freinds a individualwhi is a stock broker involved in commodity speculative trading can i claim his speculative income as business income and sett off his houseold income from that like foreign travelling, kiranans bill, credit card bills paid for dinner etc, his daugters education expenses

please appraise me with your valuable suggestions.

Thanks & regards

CA SURENDRA KUMAR RAKHECHA

CA SURENDRA KUMAR RAKHECHA (Expert)
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05 April 2012 The question is not clear whether he is regularly squaring off the transactions daily or he is engaged in commodity derivatives.
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From the reading of the query it seems you don't know about basics of income-tax and expenses allowable under the Act.
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Better you consult an Income Tax Expert personally.

CS, Deepak Pratap Singh

CS, Deepak Pratap Singh (Expert)
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06 April 2012 Dear Friend, If Individual as refer by you is continiously engaged in Speculative Business or he is engeged in speculative business and his source of Income is speculative business then his expenses regarding that business as well as personal expenses will be deducted from his buniness. But loss will be set off only against profit of his Speculative Business only. Thanks

CA SURENDRA KUMAR RAKHECHA

CA SURENDRA KUMAR RAKHECHA (Expert)
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09 April 2012 Personal expenses are not allowed as deduction from business income. It means only business related expenses are deducted.

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