Comment on Taxation Simplified

Nithin Kamath commented on 27 Jun 2013, 11:10 AM

Combined turnover of all segments together for turnover.

I know it might be trouble, but it is best to do this and show it, the reason I am saying this is because with inclusion of trading into Section 44AD, you risk a chance of getting a notice from the exchange asking you to pay taxes considering 8% of turnover as profits. Read this blog for more.

An added benefit is that if you declare this loss, which will add up if you are considering the expenses that you have incurred, it will be a sizable amount that you can carry forward for the next 8 years and net off against any future business profit( not just trading) and avoid paying taxes then.

View the full comment thread »