Hello Friends,
I have a doubt.
suppose Intraday trading transaction -
Bought 100 ITC shares @ ₹ 50 and sold 100 shares @ ₹70.
Bought 100 RIL @ 60 shares and Sold 100 Shares @ ₹50.
Turnover in this case - ₹3000
Gross Profit - ₹1000
Brokerage - ₹ 100
STT - ₹ 300
Other charges - ₹ 100
Net Profit - ₹ 500
I can show easily in No account case column but..
How to prepare P&L account for ITR 3 ( if Account Case)..
Do we need to mention actual sale and purchase or Turnover?
If turnover, how to adjust then..
plz clarify..
You should mention the TO as defined by the IT department and not the notional TO.
TO minus twice the absolute value of (summation of all) losses is the profit before other expenses.
We are subtracting twice because we have added the absolute value of losses to TO figure already once.
After that, deduct all other expenses to arrive at the final profit figure.
From your example
TO: 3000
Twice the absolute value of loses is 2 X 1000 = 2000
Profit before other expenses is Rs 1000.
All other expenses = Rs 500.
Final net profit: Rs 500.
CAclubindia
