Go AD-Free with CAclubindia Pro and Daily Mobile Updates. Subscribe Now!

Advance tax on short term gain?

Swady (Digital World) (115 Points)

29 July 2017

Hi, as a casual share trader, it seems I have incurred short term gains from purchase & sell of equity shares. Is there any amount above which I need to pay advance tax? Also, would it be beneficial to establish this share trading as a separate business entity in order to avoid short term tax issue? Need your suggestions please.

Reply
Follow
Share

5 Replies

shubham sharma (25 Points)
Replied 29 July 2017

sir if I file ay 2017-2018 return after due date then any panelty impose or not?

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (195640 Points)
Replied 29 July 2017

Don't hide STCG........ department gets data from the broking company......

Pay tax & file return....... and relax.......

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (195640 Points)
Replied 29 July 2017

@ Shubham.....

If any tax liability...... pay before 31st July..........

You can file nil return till march,2018 without any penalty.

Swady (Digital World) (115 Points)
Replied 29 July 2017

Sir you got me wrong! I don't intend to hide cause I am regular Tax payer :-) I am asking what is minimum amount for short term capital gain above which I need to pay advance tax? Also, would it be beneficial to establish this share trading as a separate business entity in order to avoid short term tax issue?

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (195640 Points)
Replied 29 July 2017

No Dear Swady........ I do not intend anything wrong...... But want to confirm that generally STCG cannot be shifted to business head, and department captures such data......... so, sorry for that.

As far as advance tax liability is concern. it is as usual......... if total tax laibility exceeds 10K........

Only thing is the 15% STCG tax is added to other tax liability for the assessment.