Penalty on Short term capital gain

hi lavjeet

If your income is below tax slab u dont want to pay any tax if your in dealing in shares also.

But if your income exceeds tax slab than pay tax as per rate but excluding income of short term capital gain.

And for short term capital gain pay @ 15%

Dear Lavjeet,

ur query is not clear.

As far as tax on STCG is concerned, yes, it is @ 15% for Asst Yr 2009-10.

I hvn't heard about penalty in case of STCG yet. Be precise on ur query.

By Penalty I mean , the interest payable.

As I am a salaried employee, if my TDS is less than Tax payable , then I have to pay tax by computing Self Assessment Tax and along with that I have to also pay interest under sections 234A,234B,234C .

I this interest also payable when I pay STCG .

yes lavjeet,

If u hv not reported ur other incomes to ur employer (which is the case with majority salaried employees) u hv to pay tax arising out of ur other income other than salaries & also pay interest u/s 234B & C if ur aggregate tax payable exceeds Rs. 5,000. Question of paying interest u/s 234A will arise only when u couldn't file ur return on or before 31st July, 2009.

Thanks NJR .

I have reported all my incomes to the employer except the STCG (by selling shares) . Do I need to pay interest u/s 234 B and C ?

My STCG is around 1000 Rs only and so the tax would be around 150 Rs .

if ur STCG is only Rs. 1000 as u said then not to worry abt interest. just pay 15% tax + 3% EC on STCG. Interest is not leviable.