both
Bala
(Student)
(498 Points)
Replied 26 May 2010
CA Shiv
(Business Controller)
(2987 Points)
Replied 28 May 2010
Neha and Bala.. Please refer below:
/experts/audit-380765.asp
still have any questions can get back to me... no probs..
Vinay Verma
(Chareterd Accountant)
(143 Points)
Replied 31 May 2010
Hi...
According to me TAX AUDIT is NEEDED ..... Its because as per Sec 44AB every person carrying on business shall require tax audit to be done if his Gross Receipts , Total Sales , Turnover exceeds 40lakhs rupees ....
In ur case F&O will be considered as business income and for the purpose of tax auit turnover will be seen inspite of whatever ur profit or loss may be .. ur F&O turnover exceeds rs.40lacs.
ALL THE BEST
CA Shiv
(Business Controller)
(2987 Points)
Replied 31 May 2010
Vinay...Please read sections properly......jsut for your knowledge only i m advicing you.
M.M.SURANA
(Director -Taxation )
(532 Points)
Replied 01 June 2010
Dear friends
Mr. Shivang is correct. Normally in share business in intraday we take only settled profit or loss of the same day and in same way in F & O we take profit or loss on the day of settlement. But in case U engage in business of trading in shares than only value of purchase & sales will form part of turnover otherwise Profit / loss will form part of T.O. please refer sec. 43(5)and U can read book of ICAI "Issues on Tax Audit"
Surana , Chennai
09952967237
shishir
(dealer)
(24 Points)
Replied 08 March 2011
mr shivang i am a investor in fno and cash and my turnover in fno so far in this ay2011-2012 is 1.50 cr in which i have incurred net loss of around 54000in fno and major loss is in nifty options. so do i need to get a tax audit pls help me ....
Pankaj Arora
(Learner)
(3134 Points)
Replied 08 March 2011
your turnover is below of limit u/s44AB hence not tax audit is require..
CA Shiv
(Business Controller)
(2987 Points)
Replied 08 March 2011
Mr shishir.
i guess the turnover in F&O is 1.5 crore and not in lakhs. please correct me if i am wrong.
For F&O you need to check the profit and loss for the scriptts if its a day trading. and i dont think so it will exceed 60 lacs.
you can send me the details.
shishir
(dealer)
(24 Points)
Replied 08 March 2011
shishir
(dealer)
(24 Points)
Replied 08 March 2011
sir but currently i m searching for a job and i do trade till i find a good job so it wont be counted as my business right
CA Shiv
(Business Controller)
(2987 Points)
Replied 08 March 2011
no.. its not considered as business
M.M.SURANA
(Director -Taxation )
(532 Points)
Replied 09 March 2011
In F & O or derivative trans. we should take only settlement amount not purchase and sales. therefore U have to take profit/Gross Receipts . If it cross prescribed limit than only it will come under 44AB. and same way in intraday You hav to consider only Gross Receip/Profit from particular trans. not purchase & sales . only squareup profit.
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