Comment on Taxation Simplified
commented on
08 Jun 2015, 10:37 PM
Hi Nithin,
As per below CBDT Circular
http://www.incometaxindia.gov.in/communications/circular/910110000000000316.htm
“CBDT also wishes to emphasise that it is possible for a tax payer to have two portfolios, i.e., an investment portfolio comprising of securities which are to be treated as capital assets and a trading portfolio comprising of stock-in-trade which are to be treated as trading assets. Where an assessee has two portfolios, the assessee may have income under both heads i.e., capital gains as well as business income.”
Other links
http://taxguru.in/income-tax/shares-investor-or-trader.html
http://articles.economictimes.indiatimes.com/2011-01-25/news/28427085_1_stt-long-term-gains-business-income
http://www.business-standard.com/article/pf/is-your-return-from-stocks-capital-gains-or-business-income-113081800685_1.html