Taxation Discussion

[XRAY27]

Re: General Trading Chat

All tax related posts will be shifted to misc thread in the evening....

Smart_trade

Thanks dada !!! please shift !!!

 

[Riskyman]

Re: General Trading Chat

Wow Its getting choppy all of a sudden

 

[pratapvb]

Re: General Trading Chat

if turnover is below the limit then it is ordinary IT return .."ITR 4"...and for your information i'm a CA !!! anyways enjoy your search !!!

XRAY with all due respect check this from the section you quoted

If there is a loss in F&O, here provisions of section 44AD will apply and accordingly audit of books of accounts will also be required. The provision of this section mandates disclosure of at least 8 % of net profit on the gross turnover.

So, in case the assesse does not discloses the same (less than 8 per cent or loss) , the assesse will be required to maintain books of accounts and is required to get tax audit under provisions of section 44AA and 44AB. Thus, pursuant to this change, income from business cannot be below 8 per cent of the gross turnover in any circumstances.

So, if there is a profit in F&O and you are disclosing 8% or more of total turnover as profit then only the income has to be declared as business income and accordingly ITR has to be filed. There will be no need to maintain books of accounts and of audit.

2nd of these paras says that in case profit is less than 8% of turnover (of course loss is less as it is -ve) then it is required to get tax audit done etc.

 

[Smart_trade]

Re: General Trading Chat

Best is trade well, make money, get audit done by paying 10-12 K and be happy....and then file return and pay taxes based on the tax slab we fall in....

ST

 

[Iron_Man]

Re: General Trading Chat

One thing i wish to highlight most professionals including CAs in india dont study their subject before they do their work. Thats the reason i wont blindly trust a CA..

this is a very lame statement man. tell me what you do and if you know every thing about what you do ?

Doctor - each doctor has its own field, own specialities. one doctor can not study the entire things about human body nor can master. therefore can't advise. Does it mean docotors dont study their subjects ?

Engineers - as an engineer, you can't do everything. as in, you cant build software and also make computer chips, and roads and buildings, and bridges and machiniries. In fact even one leg of software engineer doesn't know all the programmings in the world. Does this mean they havn't studied their subjects ?

Managers - as a manager, you can't effectively manage all fields. A hotel manager requires dfiferent skillsets than a corporate manager. A production manager in coal mines require diff skill than manager running team of NASA. Does it mean mangers doen't study their subjects well ??

I can go on and write pages about this but I guess you got my point.

Likewise, CA have their own fields of expertise.

Note that I'm neither a CA nor I have any connection with the guy posted above. I'm am just expressing my view on your dumb way of looking at things and talking bad about Indian Professionals.

 

[XRAY27]

Re: General Trading Chat

XRAY with all due respect check this from the section you quoted

2nd of these paras says that in case profit is less than 8% of turnover (of course loss is less as it is -ve) then it is required to get tax audit done etc.

Dear pratap ji !!!

first this section applies for mandatory turnover of 1 cr !!! if below and there is a loss... then this section does not apply...

for this turnover means always 1 cr or more

 

[lemondew]

Re: General Trading Chat

if you know someone who ll do for 10 k let me know. would be good if he can also know a little more on what all stuff can be added to show as expenses and so on. The CAs i talked to want 20 K that too without knowing much .

Best is trade well, make money, get audit done by paying 10-12 K and be happy....and then file return and pay taxes based on the tax slab we fall in....

ST

 

[Smart_trade]

Re: General Trading Chat

Dear pratap ji !!!

first this section applies for mandatory turnover of 1 cr !!! if below and there is a loss... then this section does not apply...

for this turnover means always 1 cr or more

The text of the law is does not make it clear that the provision of 8% is applicable only if the TO is above 1 Cr...

ST

 

[XRAY27]

Re: General Trading Chat

The text of the law is does not make it clear that the provision of 8% is applicable only if the TO is above 1 Cr...

ST

Dada !!!

Section 44AB read along with section 44AA and then come to section 44AD !!! basing on that at least i cannot sign or do audit U/S 44AD if TO is below 1 cr...

for audits under 44AB turnover is the main deciding factor so that same applies to 44AD also !!!!

 

[Smart_trade]

Re: General Trading Chat

Section 44AB read along with section 44AA and then come to section 44AD !!! basing on that at least i cannot sign do audit U/S 44AD...

for audits under 44AB turnover is the main deciding factor so that same applies to 44AD also !!!!

If that is true, most of the traders will be out of audit as most will fall below 1 Cr turnover.

ST