28 July 2022
X is a SALARIED PERSON. He does F&O Trading whose T.O. is around Rs. 10 lakh only during his free time.
For FY 2021-22 he got loss of around Rs 1 lakh due to F&O Trading.
He has 2 options, to the best of my knowledge - Option 1 : Disclose his F&O Trading result of net loss and get himself tax audited so that he can carry forward it. Option 2 : Choose presumptive taxation and declare 6% as income.
Is there an Option 3 wherein does not disclose anything about his F&O Trading since it is a loss anyway?
28 July 2022
Third option is to declare the F&O trading in ITR 3 along with other income and no tax audit mandatory, provided he had not opted for presumptive assessment u/s. 44AD of the act, in any preceding 5 years.
CAclubindia
