1) What is "turnover" in commodities trade?
for eg: I bought crude at 4431(total cost: 443100) and sold it at 4473 (sold at 447031 after brokerage). Net profit Rs3870.53 What is my turnover in this case? (is it 3870, or is it the cost+sale amount)
2) Is tax audit applicable to salaried people doing commodity trade? What does the turnover limit of Rs40 lakh mean - does it mean PROFIT or does it mean SALE PRICE +COST PRICE of all transactions during the year ?
I have recd an IT scrutiny notice, and the ACIT has brought this to my attention. Please help! Thanks in advance.
- KS
for eg: I bought crude at 4431(total cost: 443100) and sold it at 4473 (sold at 447031 after brokerage). Net profit Rs3870.53 What is my turnover in this case? (is it 3870, or is it the cost+sale amount)
2) Is tax audit applicable to salaried people doing commodity trade? What does the turnover limit of Rs40 lakh mean - does it mean PROFIT or does it mean SALE PRICE +COST PRICE of all transactions during the year ?
I have recd an IT scrutiny notice, and the ACIT has brought this to my attention. Please help! Thanks in advance.
- KS
