Not only taxes but also pay the audit fees and get our books audited.
On serious note, the logic for turnover in case of futures is not faulty. But in options it is absurd....it is done by ICAI who have little experience of options trading if any. IT has neither accepted nor rejected any defination so there is a complete chaos on this issue.
Smart_trade
Not really, even for the future it is just as absurd.
All derivative products owe their business due to leverage. Would you trade Nifty if you had to keep 2.25L (9000 x 25) to start and then pay/receive the span liability on every day you retain the position?
As far as a long or short trader is concerned, he bought/sold something worth few thousand to catch on the difference. Most brokers do allow multiple reuse of released margin so even if you really did 375 trades in a day (in and out of a position in under a minute). you need not have large margin..
Sometimes I wonder if those who draft laws are sadistic ...