One of my client who is a salaried empolyee in MNC also dealing in futures and options through NSE and BSE brokers. For the Asst year 2007-08 profits earned in futures and options offered to tax as short term capital gains and paid the tax. A note also given in the computation sheet along with the return that his main activity is employment and not trading in future and options and hence considered the gains from future and options as Short term gains. Now the assessing officer wants to treat the profit from the above activity under business income. Can any one suggest me a reference case to defend the method adopted by my client is correct.
CA viswanadh
CAclubindia
