Fire your tax related queries and i would get it solved!!!

[shravank30]

I am new in trading world. And started trading just a year back and didn't know about tax much. So I have some queries, if you can answer me, it'd be really helpful for me.


I don't have any job or any business. I am just a student. And my father is salaried employee. So I took 5 lacs from him, which I used for trading in future segment.

Because of this, I am in doubt.
Do I need to show 5 lacs in my income tax filing as income from other source or not?

I have made some money around 1 lacs till now and my future turnover is around 11 lacs (Based on zerodha). So do I need to pay income tax on this 1 lacs income or this would be considered as my father's income and he need to pay income tax?

And I have some spent some money in trading workshops, internet bills etc., can I count them also when filing income tax?

I have loss around 1 lacs in my trading account and 2 lacs in profit. So net profit is 1 lacs. Can I carry forward my loss of 1 lacs in belated tax filing?

Thanks in advance.

You have to understand the basics of accounting
You have made a loss of 1 lakh and a profit of 2 lakhs, both in FNO
So automatically the loss is adjusted against the profit.
You cannot isolate the profit and loss and you have to offset against each other if they are in the same category.
If there is any loss still left over, you can carry forward the same provided that you file your return within the due date

 

[canikhil]

Trading in FNO is business income and so he has to file a return irrespective of the profit or loss
He can file under presumptive profit but he has to do it
File before 31st March to avoid penalty

Dear Shravank,

there is nothing worse than a bad advice. filing of tax return is not based on profit or loss but on the conditions provided in section 139. If an individual has income less than basic exempted limit before providing for chapter VI deductions, he is not required to file the return under law.

I would be more than happy to look at the provisions of the Act or rules made therein that form basis of your opinion.

 

[shravank30]

Dear Shravank,

there is nothing worse than a bad advice. filing of tax return is not based on profit or loss but on the conditions provided in section 139. If an individual has income less than basic exempted limit before providing for chapter VI deductions, he is not required to file the return under law.

I would be more than happy to look at the provisions of the Act or rules made therein that form basis of your opinion.

"...................

 

[prabit]

Is there any rule that if I issue a bank draft of above 10 lacs, it will be reported to income tax deptt.? Somebody please advise.

 

[elwavetrader]

Please advice
If there is any change of rules/format of form (declaration), for Form 15G and Form 15H. Thanks.

 

[canikhil]

Please advice
If there is any change of rules/format of form (declaration), for Form 15G and Form 15H. Thanks.

same as last year....

 

[canikhil]

Is there any rule that if I issue a bank draft of above 10 lacs, it will be reported to income tax deptt.? Somebody please advise.

no. atleast not as per AIR rules.

 

[gemat]

hi,
if you have a capital of, lets say, 2 lakhs, want to start trading as fulltime. no other source of income, saved some money from previous job. would they tax this capital apart from profit and loss from trading?

 

[canikhil]

hi,
if you have a capital of, lets say, 2 lakhs, want to start trading as fulltime. no other source of income, saved some money from previous job. would they tax this capital apart from profit and loss from trading?

the capital means either the money that you have earned earlier and the tax, if any, has already been paid on it or it is the money that you received through inheritance, gift etc. Except for certain circumstance of it being a gift, such amount is not taxable.

 

[gemat]

i have some savings in nri account. was abroad, quit my job last year and settled in India now. so you know NRI money is not taxed. so i use this as capital and at the time i file my return (trading income) do i have to declare the source, pay tax for the capital too?
i understand if it is a gift, or money used now had been paid tax before. thank you.