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Validation error while trying to upload ITR 3 after filling schedule PnL-> no accounts case (sec 64)

ITR 1360 views 4 replies

Ravi Roshan

1 Points Posted on 19 December 2021

I have futures n options income (gross receipts < 3 lakhs and gross profit < 1.5 lakhs) so i am filing itr 3. The fno income has been entered in schedule pnl, no account case-> business -> gross receipts and profits.

However while filing itr getting below error before verification

in schedule bp, sum of values entered from 36(iv) to 36(vii) should be equal to sum of "net profit" declared at sl no 64(id) and 64(iid) in sch p&l

This doesnt make sense, why fno income has to match income u/s 44b/44 bb/44bba/44da.

Replies (4)

Vishal Manakshe

299 Points Posted on 19 December 2021

F&O is considered as normal business. All the transactions are done online and records are easily accessible.

why are you going with "No account case"??

I have seen that error in many cases, so I went with normal business i.e. filling B/S and P&L with limited data

It is advisable to go with B/S and P&L, you can show the total of balance of your broker and bank balance as the total of your capital account

CA Raj Doshi

Practising CA

8954 Points Posted on 21 December 2021

Dear Immneul,

Investing in IPO in your name would only lead to you being the rightful owner and holder for shares. accordingly, when you sell the shares, the profit shall be taxed as short term capital gains to you under your PAN. Funds borrowed from wife would not have any impact on taxation. You will have to open a demat and trading account in your wife's name for effective tax mananagement.