Comment on Taxation Simplified
commented on
30 Jan 2013, 04:35 AM
Thank you for this very informative article.
Can you please confirm how turnover is to be calculated for audit purpose. Is it the sum of total profits and losses, as stated by you or is it the total value of the contract? For eg if I buy 10 lots Nifty at say 6000 level and then sell at 6100, my profit would be 500*100 = Rs 50,000, while the total value of the contract would be (500*6000)+(500*6100)=Rs 60,50,000.
If it is sum of profit and losses, then is turnover to be calculated at say, Rs 20000 profit + Rs 10000 loss = Rs 30,000 turnover. Or is it Rs 20,000 minus 10,000 = 10,000 turnover.