banner_ad

Practical case query- section-14a of it act,1961

Tax queries 397 views 1 replies

Hello.. There is one practical query..

 

Facts of the case:

HUF having business of only Trading in Shares (quoted-unquoted both) and derivatives. Showing huge Speculation Losses from past 4 years. Earning Dividend Income. Paying interest on unssecured loans. In balance sheet the assessee is showing Closing Stock of Shares & Derivatives..

 

Query: 

1) Can we treat closing stock as investment & apply Section 14A??

2) Is this disclosure of closing stock correct??

 

Note: Please mention the reason for your answer w.r.t. any case law judgement(if any).Its urgent.

 

Thanks & Regards
Manisha Sharma

Replies (1)

U r little confuse here,

As per sec.14A it is immaterail that it is a closing stock or investment. 14A is applicable in both cases.

 

In your case it is advisable that treat it as investment and show loss as capital gain loss.

 

 


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 02 May 2026
Senior Executive

hitesh chandwani & co

Pune

B.Com

View Details
Company
Featured 29 April 2026
Manager- Finance and Compliance

Naveen Fintech Pvt Ltd

Kolkata

CA Inter

View Details
Company
Featured 14 April 2026
GST CONSULTANT

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 13 April 2026
GST CONSULTANCY

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 28 March 2026
Accountant

Ashok Amol & Associates

New Delhi

B.Com

View Details
Company
Featured 28 March 2026
CA Final

Ashok Amol & Associates

New Delhi

CA Final

View Details
Company
Featured ARTICLESHIP 19 March 2026
Article Assistant

Gupta Sachdeva & Co. Chartered Accountants

New Delhi

CA Final

View Details
Company
Featured 14 March 2026
Associate CA

N N V Satish&co

Hyderabad

CA

View Details