09 December 2009
1. Intra day trading in shares is known as speculation activity. A has to show Rs.11,000/- as profit earned from speculation. Since no delivery was taken for these activities; hence these will not be included in the turnover.
However; it seems from the facts of the question that he is also holding certain shares for short term. Whatever is not intra-day transactions; the same will be included for purchase and sales. If sales exceeds Rs.40.00 Lacs; then Tax Audit is required.
09 December 2009
For intraday as it is not on delivery base turover as per tax audit guidline note is 1)the total of favourable and unfavourable differences shall be taken as turnover
from your note it seem that you need to pay short term capital gain tax.