Can stcg of shares claimed as business loss

An asessee has a lot of transactions in share trading

Salary income 150000

Shares delievry based transactions               -400000

Intra day transactions                                       200000

 

can assesse claim stcg as business loss and setoff against intra day income.

 

Also he has paid delay payment charges to broker of rs 50000 for delay payment towrds transactions made

 

can these charges be claimed expense in intra day or stcg or both.

 

Please advise in best interest of assessee

 

Replies (2)
No,shares are deemed as a capital asset even if you are dealing as a trading activity,therefore ,gain or loss will be Stcg/ltcg or stcl/ltcl.However,while calculating cap gain you can add stt ,brokerage and other levies on purchase to purch cost.similarly,you can deduct such exps on sale from sale proceeds.hope its fine.

If the assessee is holding the shares by way of investment, then the same shold be considered under the Head Capital Gains.

however if the assessee is dealing in shares then that would be considered as his business income.  however the business loss can't be set-off against salary income.

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