From borrowed money purchase share. Can take deduction of interest from capital gains whether long term or short term?
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Short term capital gain
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In capital Gain no deduction can be claim for interest on loan. But if it is you business than you may take the deduction of interest on loan
No.. whether one has BORROWED money / or was that of his/her own to BUY shares is NOT under PERVIEW of calcualtion of STCG /LTCG, so calcualtion of interest as EXPENSES as component is NOT THERE, irrespective of what other profession he does (TUTION CLASSES)/AGRI etc)
Then what about interest paid? The person earn TUTION FEES only.
you can take interest paid while calculating cost of acquisition....
Preety ji your query is not clear as earlier you have asked capital gain income & now you are saying Tuition Income
@ ballodia she is saying that the person has only tution fees as a source of income and to acquire shares , he has taken loan and the interest on such loan can be taken as cost of acquisition or not....am i right preety
@ Ashwin Kumar yes sir, you r right
Now tell me that what should I do?
u can consider the interest paid and include it in the cost of acquisition
u can consider the interest paid and include it in the cost of acquisition
As per me interest cannot be claimed for Caiptal Gain on Share. If you show the capital Gain as business income than only interest is allowed
actually i also thought that way....but afterwards dhirajlal sir explained ....a person can claim interest under both heads....in the case CIT vs Rajagopal rao (2001) the court declared that interest can taken into account for calculating cost of acquisition ...
| Originally posted by : Ashwin Kumar | ||
 |
actually i also thought that way....but afterwards dhirajlal sir explained ....a person can claim interest under both heads....in the case CIT vs Rajagopal rao (2001) the court declared that interest can taken into account for calculating cost of acquisition ... |  |
If Dhirajlal Sir has told you than you are correct
how much amount of P.F taken an S.O in income tax
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