Speculation Profit

This query is : Resolved

PREMAL (Querist)
Follow

04 January 2011 Dear All

I AM PRACTICING FOR FILLING IT RETURNS, ONE OF MY CLIENT HAVE DONE SHARE TRANSACTATIONS AND HE MADE RS.27154 AS SPECULATION PROFIT AND TURNOVER IS RS.1.2 CR IN A YEAR,SO PLEASE ADVISE THAT WEATHER HE REQUIRES TO DO AUDIT FOR THIS OR I HAVE TO SHOW RS.27154/- AS SPECULATION PROFIT ONLY IN ITR4.

Regards
PREMAL PATEL

Aditya Maheshwari

Aditya Maheshwari (Expert)
Follow

04 January 2011 In case of intra day trading turnover is calculated as profit + loss. If the same exceeds Rs. 40 (now 60) lakhs then he is liable for audit u/s 44AB.

In case of delivery trade the turnover is sales figure.