11 February 2014
one of friend invested in shares Rs. 50000/- but he made loss almost of Rs. 19000/- . he is filing IT return. and he is not coming in that slab to pay slab. (I T will be nil).. so how to show the loss of share investment.
he is making salary income, SB int. income and dividend income.
11 February 2014
You have to find it out whether it is a short term loss or a long term loss. If long term then it is exempted and if short term then the loss can be adjusted against short term profit or to be treated as a business income or loss provided the shares are held for less than a month. If your friend has incurred losses on intraday transaction then it is to be treated as speculation loss and it can only be adjusted against speculation profit.
CAclubindia
