TAX For trading In futures and Option

#1
Dear Sir,

Could you pls. let me know what are the taxes that needs to be paid for a working proffesional doing part time in stock market in futures and options?

For eg. Salary is 5 lacs. And if i earn a loss of 1 lacs, could you pls. let me know if the taxable income is 4 lacs?
Can you pls. help me in wich ITR i need to file this?

Regards,
Mahadish
 

jamit_05

Well-Known Member
#3
Dear Sir,

Could you pls. let me know what are the taxes that needs to be paid for a working proffesional doing part time in stock market in futures and options?

For eg. Salary is 5 lacs. And if i earn a loss of 1 lacs, could you pls. let me know if the taxable income is 4 lacs?
Can you pls. help me in wich ITR i need to file this?

Regards,
Mahadish
Speculative Losses cannot be adjusted against any other form of income (but only Speculative Gains)

So, your Salary of Rs. 5L will be taxed as per your tax bracket without any reduction in taxable income.
 

a1b1trader

Well-Known Member
#4
Speculative Losses cannot be adjusted against any other form of income (but only Speculative Gains)

So, your Salary of Rs. 5L will be taxed as per your tax bracket without any reduction in taxable income.
Hi Amit

Income/loss (I/L) from the derivatives (F & O) is not speculative I/L, but business I/L and so treated accordingly for IT purpose.
Though I/L from trading in Cash segment is treated as speculative I/L as per IT.
 

jamit_05

Well-Known Member
#5
Hi Amit

Income/loss (I/L) from the derivatives (F & O) is not speculative I/L, but business I/L and so treated accordingly for IT purpose.
Though I/L from trading in Cash segment is treated as speculative I/L as per IT.
Do you mean Loss from FnO can be adjusted against income from business?