STCG loss offset with gain of this year

dear ashish & agilent ,
please clear my doubts.
1. i am a government officer. i started trading this year. am i entitled to trade in futures & options. holding period vary between 2 to 20 days. do i need to inform government regarding this and take permissions from seniors.
2. i was trading in my wife name. she had suffered STCG loss in total. can i claim /offset this loss in 2006-07 return.since she has also joined as a goverment officer , can she continue.
plz hlp
rajneesh

Rajneesh!

1. The government employment conditions usually require that if an alternative employment or business is started by the employee, he needs to take permission of the government officials. However, the same guidelines can't be applied to investing or positional trading. However, when the scale of operations or their frequency become such that it can be called a business, then perhaps you will need to take permission. It'll be better to check with your personnel department.

2. Now loss from cpaital gains are not allowed to set-off against any other income in the same assessment year unless and until assessee has some other capital gain income. However, STCG loss can be carried forward to next 8 years and set-off against both LTCG/STCG in the following years.

Best Regards,
--Ashish

Hi
Any investment beyond Rs.15000 requires intimation to Govt.Frequent sell and purchase is termed under speculative transaction and is not permitted. Trading etc is not allowed for Govt. officials.
Frequency is not explained in the rules. I suppose if you are able to explain source of money for investment, it would be fine even if you transact frequently.
In regards to your wife, its source of income( presumably from your's) is important.You can claim set off on loss in STC against STCG gain as explained by ashish.
After she has her own source of income and has to show any transaction with her money in her own name so you can not claim set off against loss

pankaj

Ashish/ Pankaj
A quick question :
STCG is now 10 % flat, as long as STT has been paid.
Is that right ?

AGILENT

Hi Examiner

Yes for shares and with STT, if routed through Stock Exchanges.
Pankaj

Huh... examiner ?

What's up , mate ?
AGILENT

Ahh Agilent

Always get agiteted by little jokes.....

BTW did I pass?

Pankaj

Who, me ? ... or you ... ?

Dont speak in riddles Pankaj

Here's another

First appearance deceives many.
---Ovid


Pankaj

oooooppssss !!!! what's going on......I believe the above statements are true to the best of my knowledge...but both these buggers are confusing me all the more........

ganeshhity