If someone is Salaried Employee and has turnover in "Cash Margin"/"Intra Day" not in F&O more than 40L then does he has to go for Tax Audit?
Which ITR form need to fill in which ever case?
There is a Total Loss of 40k which needs to be carry fwd.
Turnover Consider here: Total Shares Bought in an year + Total Sold
Exp:
Infosys:
100 bought at 1900 = 1,90,000
and
Same day Sold at 1910 = 1,91,000
Turnover = 3,81,000
Hello,
In case of intraday transactions in stock market, as per Sec 44AB, difference of buying and selling should be considered. In given case
sale of 100 infosys @ Rs.1910 = 191000
Less: Purchase of 100 infosys @ Rs.1900=190000
Only difference of Rs. 1,000 would become turnover. if such exceeds turnover Rs. 40lakhs it will be liable for audit. In such case return will be filed in ITR 4
Friends
Profit from intra day transactions is regarded as income from speculative business .
Sec 44AB is not applicable to Speculative business.Hence the question of Tax Audit does not arises
While Difference in sales & purchase is considered as turnover only in case of F & O transaction (which is considered as business income)
ITR 2 is required to be filled in the said case.
CAclubindia
