Darshan Bhutwala (PRACTISING CHARTERED ACCOUNTANT) (28 Points)
26 March 2009Hi,
I want to know whether Sale and Purchase Transactions done under Futures and Options should be shown as trading transactions or only resultant profit or loss to be reflected in profit and loss account?
Further if there is a loss in F&O, can it be set off against other business income?
vinod bajaj
(partner)
(87 Points)
Replied 26 March 2009
F & O Loss can be set off against other business income.regarding turnover you can do it either way.turnover in F & O Transactions is the net profit or loss in each transaction
Darshan Bhutwala
(PRACTISING CHARTERED ACCOUNTANT)
(28 Points)
Replied 26 March 2009
thanks,
but if my net result is not crossing say 10 lacs but my turnover exceeds 4 cr. now whether the books have to be audited?
CAclubindia
