Sunder (Business) (165 Points)
06 April 2011When computing the total taxable income where should the following be deducted with respect to speculative income from intraday trading & short term capital gain from cash trading & mutual funds :
- Brokerage
- STT (Securities Transaction Tax)
- Transaction & SEBI Turnover Charges
- Stamp Duty
U S Sharma
(glidor@gmail.com)
(21063 Points)
Replied 06 April 2011
in intraday trading ( speculation business) all expenses are deductible
in capital gain. STT is not deductible,
kanhaiya kumar agarwal
(Practising Chartered Accountant)
(72 Points)
Replied 06 April 2011
In case of Speculative Income from Intraday Trading, the same will be considered as business income, from which all expenses are deductible.
However, In case of short term capital gain all expenses are deductible as Expenses of Transfer (Other than STT, which is specifically excluded)
Sunder
(Business)
(165 Points)
Replied 08 April 2011
Sharma, Kanhaiya
That means for Capital Gain (ST or LT),
Income = Sell Value - Buy Value - Cost of Acquisition(excluding STT)
I may just be rephrasing, but wanted to make sure. Can u give me any section reference ?
Pankaj Arora
(Learner)
(3134 Points)
Replied 08 April 2011
Share sell value minus cost value if shares was in hand more than three years than you could take benefit of cost inflation index…
You can minus expenses brokerage or commission from profit according to above calculation…
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