canikhil

Well-Known Member
#21
This tax query is for a next door lady, a senior citizen, aged 63+ (husband is 68+ and is bed ridden), with 2 grand sons (of deceased son)
She has no income, though some from bank savings. She has a PAN but has never filed ITR.

Her other 2 sons and a daughter send her some money monthly, to meet household and medical expanses and for education of her grand sons. She received some 4.5 lakhs in FY21-22. One of her distant relative in a meet, has frightened her, saying that it is mandatory for her to file ITR, as she is receiving more than 3 lakhs in an year.

The query is, whether it is mandatory for her to file ITR for the amount she receives from her sons/daughter.
If this is all what we she is receiving, there is no need to file the tax return. I do not see any significant chance of her satisfying the other conditions under section 139 that makes filing of return mandatory.

Still do check for compliance with the following:

Where the total income exceeds the basic exemption limit or,
Deposit of more than Rs. 1 crore in current accounts or,
Expenditure on foreign travel in excess of Rs. 2 Lakh or,
Expenditure on electricity bills in excess of Rs. 1 Lakh or,
Aggregate TDS/TCS is Rs. 25,000 or more (Rs. 50,000 for senior citizen) or,
Deposit of more than Rs. 50 Lakh in savings bank accounts
 
#24
hello Nikhil,
I was just looking at the M.stock feature of holding stocks by paying around 20 % for the eligible stocks and the rest 80% of the stock being financed by them by charging us 8% interest.
Can I deduct the 8% interest as expenses in my trading .
I mostly trade in F&O and i buy stocks mainly for long term , I am targetting to buy stocks now by paying their 8% interest charges.
i am concerned whether i can club this together with my Futures and options and show the interest being paid as expenses.
Thanks
Don
 

canikhil

Well-Known Member
#25
if I am not mistaken, since most of these stocks do not hit your depository account, the income/loss for the same itself is treated as business income/loss (speculative) (atleast ICICI gives this treatment). So, claiming expenses should not be a problem at all.
 
#27
if I am not mistaken, since most of these stocks do not hit your depository account, the income/loss for the same itself is treated as business income/loss (speculative) (atleast ICICI gives this treatment). So, claiming expenses should not be a problem at all.
Thank you for your reply Nikhil,
Once i place a pledge on the stock after it has come into my demat account, I would be given leverage 4 times the pledge value to buy into stocks into delivery in my demat account for which i will alway have the option to sell when I want . So if I would prefer to sell it after one month Can i add this interest as expense to my short term trading for submission to I.T along with submission of F & O expenses and view both as non speculative trading
 

canikhil

Well-Known Member
#28
Thank you for your reply Nikhil,
Once i place a pledge on the stock after it has come into my demat account, I would be given leverage 4 times the pledge value to buy into stocks into delivery in my demat account for which i will alway have the option to sell when I want . So if I would prefer to sell it after one month Can i add this interest as expense to my short term trading for submission to I.T along with submission of F & O expenses and view both as non speculative trading
as long as you are offering these transactions as business income, then you can claim the interest. But not if it is offered as short term capital gains/loss
 
#30
What exemptions/deductions are available, in new tax regime for an individual, salaried class persons
(other than standard deduction) and for business income.

Thanks
 

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