Dear Friends,
Hello!
Would you kindly help me on the following subjects/queries:
1. Can an individual or a business firm doing business in share market/commodity trading accept investments from individuals for the same and give them a fixed returns @ 4-5% per month? Does it violate any Indian law/Income Tax rules?
2. If it is permitted, what is the TDS which is to be deducted from the payment made to the investors?
3. If the above is not permitted, then can the individual or the firm accept under 'loans' repayable with interest @ 4-5% per month? If so, what will be the TDS applicable?
4. What are the mandatory registrations required for such a firm or an individual?
Thanking you in anticipation, and awaiting your kind responses.
Yours truly,
B S Bhmra
CAclubindia
