Comment on Taxation Simplified
commented on
11 Mar 2014, 08:58 AM
Eric, settlement profits and losses are calculated as turnover only in case of derivatives trading. When you do short term equity trading, when you buy stocks for 30lks it actually gets debited from ledger and gets credited when you sell (in F&O only margin gets blocked), and hence your turnover in the above case is 1.53 crores, and yes you come under audit since your turnover is more than 1 crore.
Cheers,