Maintain Accounts.

If time permits you can keep your accounts in a reasonable software say tally.

If not also you can use personalised excel spreadsheets showing all the information

You can also use the xl format of your banking statement to make the required statement.s.

All one would want to look at is whether you have kept all the accounts propertly or not and whether you have sufficient information.
 

Also contact your broker and obtain a P & L Statement for the period from them . You can use the said profits or loss in your income tax returns.

Since you are a Professional and work on profit sharing basis.

It is necessary for you to maintain accounts in any software say TALLY.

The reasons behind this are as follows:-

1. To determine your turnover for the purpose of TAX AUDIT under 44AB which for professional is 15 Lacs.

2. To account all bank entries and your professional transaction for share trading.

3. You can settle your accounts with the partner having share of the income.

4. You can verify the form 16A with the data entires maintained by you and rectify any errors.

There are many other reasons to maintain accounts.

Think on it and post your further queries.

@ Pravin - Thanks for your Response, I think it Cleared Most of my Doubts...I do maintain bank Statments in excel and also have PLsummary and ledger from my Broker.....Hey do u have any format ready for "personalised excel spreadsheets" ??

@ Jignesh - Thanks for Ur Feed back.... on the reasons u have provided for using tally...just want to clarify on this reason...

1) Professional income is less than 15lacs ..so tax audit is out of question

2)I do Maintain "bank Statements" in excel to account for Bank Entries and for Demat , i do have  PL summary and Laedger maintained in excel from the broker.

3)its only simple Pl report that we use to settle the accounts with the Partner.. on a monthly basis.

4)This point mentioned by U...seems to be useful...

My follow-up Query is....

Q.1) What alternates do we have other than tally....I do not know how to Operate "Tally"...any other option Available.

Q.2) If I am showing something as Expense, Like Mobile Bills, Travel Expense... do i need to maintain Bills for the same..

Thanks...

Harshit Patel

There is a software called BUSYWIN, but i think it is even more complicated than tally, wait for others to reply on it. I dont have much idea on accounting softwares.

If you are showing any expense then it would be good to maintain those bills (if you have), it would support you when there arises any query or issue or dispute.