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Tax Audir for traders in market

Sagar Thakkar (Business) (37 Points)

22 December 2008

Have an query. Is tax audit required in case my turnover in the Futures and Options segment have excedded Rs40L during the year. Also, in case my Cash segment turnover also exceeds the limit is Tax audit required/mandatory

Regards

Sagar

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3 Replies

Neeraj Taneja (Faculty- Finance Audit ) (227 Points)
Replied 22 December 2008

Dear Mr. Sagar

Yes it will be covered by tax audit subject to if the Net profit / Net loss exceed Rs.40 Lacs .

Thanx & Regards

Neeraj Taneja

(Guest)

if you are broker then your books of accounts U/s 44ab of income tax act will be audited.............other wise not

Sagar Thakkar (Business) (37 Points)
Replied 22 December 2008

i think when the turnover exceeds 40L. tax audit should be required irrespective of profits or loss. as it would be considered business of the regular basis

Regards

Sagar