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Filling details of losses in case of Short Term Capital Gain

Tax queries 682 views 1 replies

Can personal loan interest be maked as expenditure, if the same money is used for Business transactions. I had taken some personal loan, and used the same for buying shares. Can I claim interest as expenditure, while calculating my profit loss report.

Replies (1)

 this depends on whether u r doing day trading or holding shares as capital investments or holding shares as stock in trade.(SIT)

1.if u r involed in day trading then u can claim the interest paid as ur income will be assessed under pbbp(speculation business)

2. if u r holding shares as capital assets u cannot claim such expenses.

3. if u r hold shares as SIT then u can claim the interest as business expense, ur income wlii be assessed under the head pgbp(non speculatiive business)


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