Comment on Taxation Simplified

Nithin Kamath commented on 11 Aug 2013, 02:10 AM

Bko,

1. Irrespective of if you use MIS or NRML, trade intraday or overnight, f&O trading is considered as not a speculative but a business income

2. About hte P&L, it will be very tricky to show a previous financial year position in this years. But I have initiated the process to find out if it is allowed to do so, if we you are holding an open position.

3. Bhavesh, this can be done both the ways, considering original purchase price or you can take the value of all your holdings as per 31st March and then for the present year see your profitability based on that of 31st March. The reason we have mentioned this way is because it is the easiest way to file.
we have seen clients, if they are making loss as on 31st march on their open positions then they use our method and if the position is making profits as of 31st march they use the method you have mentioned which considers the original price. Both the methods are alright, remember there is no guidelines from CBDT on all of this, we have to use a method which we find it easy and be consistent to it.

View the full comment thread »