DEAR YAYATI TYAGI SIR PL TELL ME

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mohit arora (Querist)
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28 May 2008 SIR YESSTERDAY YOU HAVE ANSWRED MY QUERY
"WHETHER SEC 44AB APPLICABLE OR NOT" SIR PL TELL ME IN WHICH CATEGORY I STANDS ,WHETHER IN INVESTOR CLASS, PERSONAL CAPACITY WHERE 44AB IS NOT APPLICABLE OR IN BUSINESS WHERE 44AB IS APPLICABLE "

CA. Yayati Tyagi

CA. Yayati Tyagi (Expert)
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28 May 2008 this is actually not made clear in law, what will constitute as trading and what will be investing in shares. but largely, if a company or firm have trading in shares as business objective it will called business of shares.

in case of a individual like u, u shud present urself like investor due to tax benefit. as to a investor, ltcg is exempt and stcg is taxable @ 10% but in a business it is taxable @ 30%. so, in ur case u think urself as investor. for more info go to this link:

http://law.incometaxindia.gov.in/dittaxmann/circular/cir4_2007.htm

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