short term capital gain

if STT is not applicable then STCG is added to u r income tax return and taxpayer is taxed according to his income tax slab and if STT is applicable then STCG is taxed @ 15% + surcharge + ec.

stt is paid on every transaction

The problem here is the priority of threshold exemption to be set off i.e. whether Threshold to be settled against STCG or Business Income?
Case 1:
Business Income: 80,000
STCG. : 30,00,000

Less: Basic Exemption
Business Income: 80,000
STCG. : 1,70,000

Result: STCG of Rs. 28,30,000 Taxable @ 15%

Case 2:

Exemption Settled against STCG.

Result:

Rs. 27,50,000 Taxable @ 15%.
what will be treatment of PGBP profit of Rs. 80,000?
whether it is taxable @ 5% or @ 30% ?

And which Case will be applicable?

This is the question i think.

In my advice, Case 1 is the correct calculation as transaction taxed as a special rate like ltcg @ 20% and stcg @ 15% can get exemption limit only after if any amount remains after set off against income taxed at normal rates.