Taxability of shares
This query is : Resolved
03 August 2011
please tell me....what is the difference between mcx and stock exchange.....
whether all the persons dealing in stock exchange or mcx whether directly or indirectly are liable to paying tax on capital gain arising from the sale of shares or commodities..or for taxation purpose the person must be registered.....???
whether all the persons dealing in stock exchange or mcx whether directly or indirectly are liable to paying tax on capital gain arising from the sale of shares or commodities..or for taxation purpose the person must be registered.....???
04 August 2011
mcx is Multy Commodity Exchanges where derivatives of commodities are traded.
.
Stock Exchange are meant of trading in securities like shares, debentures, other securities & derivatives of shares
like futures & options.
.
For dealing in these exchange one person must be registered as a client with any of the brokers engaged in the exchanges.
.
Capital Gains or Business Income etc are
not directly paid through exchanges but the Account holder has to show such income in his own return of Income..
.
Exchanges also charges certain taxes bases on transaction values like STT, Service Tax, Stamping Charges etc.
.
Stock Exchange are meant of trading in securities like shares, debentures, other securities & derivatives of shares
like futures & options.
.
For dealing in these exchange one person must be registered as a client with any of the brokers engaged in the exchanges.
.
Capital Gains or Business Income etc are
not directly paid through exchanges but the Account holder has to show such income in his own return of Income..
.
Exchanges also charges certain taxes bases on transaction values like STT, Service Tax, Stamping Charges etc.
04 August 2011
sir..,
then for practical purpose.., how black money is used in dealing in shares or in mcx..
means.., the person who is not registered is not required to pay capital gain tax or he can use his black money for dealing...???
then for practical purpose.., how black money is used in dealing in shares or in mcx..
means.., the person who is not registered is not required to pay capital gain tax or he can use his black money for dealing...???
04 August 2011
In trading through exchanges it is riskier to use black money.
While registering as a client with any broker one has to give his PAN, Address proof and Identity proof also including his photograph. Otherwise he will not be registered.
If a client so registered deals, information in his account can be called for by the IT department.
So, an unregistered person can not carry on his trade in his own name.
If he trades in others name, the lender of the name shall have to face the legal actions.
While registering as a client with any broker one has to give his PAN, Address proof and Identity proof also including his photograph. Otherwise he will not be registered.
If a client so registered deals, information in his account can be called for by the IT department.
So, an unregistered person can not carry on his trade in his own name.
If he trades in others name, the lender of the name shall have to face the legal actions.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Fixe term employment
- Is any professional CA is here please reply
- GST ITC REVERSE
- EXPORT BILL UNDER LUT FREIGHT CHARGE INCLUED IN INVOICE IT LIABLE TO TAX
- RCM ISSUE ON RENT AND TRANSPORTATION CHARGES
- Putting a heading on received mail
- Foreign lottery ticket bought online from India: legality, tax and consequences
- Reprocessing of rectification order AY 2025-26
- FTS Taxable under 115A
- Experts need help
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
