How to calculate tax audit limit

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

27 September 2011 A person is trading in futures and options segment as Stock exchange.

How the turnover is to be calculated for the tax audit purpose to
arrive at limit of 40 lacs. Is there any circular/ guidance from income
income tax autorities. then please mention circular number.

Thanks

CA. Deepak Narula

CA. Deepak Narula (Expert)
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27 September 2011 In case of F&O segments, the total of both favourable and unfavourable differences shall be taken as turnover. Also, the premium received on sale of options is also to be included in turnover.

Note that tax audit limit has been increased to Rs. 60 lakh from AY 2011-12 onwards.

Querist : Anonymous

Querist : Anonymous (Querist)

27 September 2011 But Can you refer me any circular / notification from CBDT side,

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Querist : Anonymous

Querist : Anonymous (Querist)

27 September 2011 i want refernce number,that is circular number