Not reporting stock losses in return

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Guest

I had no taxabkle income ( above 2.5 lacs) putting all sourecs of income . In shares trading also there were lossess. hence The lossess were not uploaded and a simple return ITR 1 was used

Now based on CASS a ntoice u/s 143(3) is received.

What is course of action expected?

is it mandatory for an indivudual to file return of lossess if not a firm or compnay ?

Itb is necessary to reprot trasanction when in addition to aboe the income is under expemted limiote and no tax liability is worked out for the year

what action is to be taken

Replies (3)

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

211758 Points Posted on 17 July 2017

When the notice for the submission of some documents has been received........... you are supposed to comply the requirement...... may be nil tax return..........

You are just supposed to authenticate your actions as per the act, during the scrutiny/ verification in person with assessing officer.

You are at liberty to hire services of any CA/lawyer.

Guest

Notice is received u/s 134(3) enquiring if security market transactions were fully disclosed. That is all . To send any eviodence or otherwise inform for further action

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

211758 Points Posted on 17 July 2017

If the income tax computations made by you are correct, then you just need to respond in the following manner:

Collect all the details of IT computation which you would have computed while calculating it earlier. In case you are an employee, Form 16/16A would be helpful in getting all the details as the computations are already done by your company.
Prepare a covering letter and indicate all the annexures attached with the reply letter.
If any of your income tax dues are pending with the income tax department, you can also mention it in the covering letter.
Submit the file to the Assessing officer. Remember to keep its copies before submitting.
Take the acknowledgement copy from the Assessing officer for your own records.

However when you are not sure about the treatment of any particular receipt not shown in income tax return, you should seek professional’s advice.

More details refer: https://incometaxmanagement.com/Pages/KnowledgeBASE/2/14-Sec143(3)-Scrutiny-Assessments-by-Income-Tax-Department.h,t,m,l (remove commas)