Thanks for the clarification on demat. But still have one question: if a broker has not registered with a Depository can then still use the demat account with that Depository? Eg: In the list of registered DP's on NDSL Angel broking is not showing, they are registered with CDSL now if I have a demat account with NSDL will Angel broking be able to use me demat account for delivery of shares?
The tax expert I was talking about is diosys. He provides free tax related info on this forum for past 2 yrs. I don't think that's the reason.
What he said was that shares in demat are classified into STCG or LTCG based on FIFO method. Basically if you make 2 buy transactions, say 50 and 50 shares and then 1 sell transaction say 50 shares (of the same co) then the calculation is that the first purchase is considered to be sold first so it is calculated as STCG. That's why he suggested holding 2 demat accounts. In which case the long term holding will not shown any trasaction in the demat account and will not be taxed.
The software tht you are talking about is it Tally? It's too complicated for newbies to use.
The tax expert I was talking about is diosys. He provides free tax related info on this forum for past 2 yrs. I don't think that's the reason.
What he said was that shares in demat are classified into STCG or LTCG based on FIFO method. Basically if you make 2 buy transactions, say 50 and 50 shares and then 1 sell transaction say 50 shares (of the same co) then the calculation is that the first purchase is considered to be sold first so it is calculated as STCG. That's why he suggested holding 2 demat accounts. In which case the long term holding will not shown any trasaction in the demat account and will not be taxed.
The software tht you are talking about is it Tally? It's too complicated for newbies to use.