Fire your tax related queries and i would get it solved!!!

[nac]

I am awaiting for your reply for the post #1206.
I don't know whether you missed or got no time to reply for the bigger size post.

Anyway, you can take this as a reminder post.

 

[diosys]

Hi!

I read another 25 pages and come up with few more doubts.
Some of my doubts may be similar to my previous set. If you feel that the explanation going to be given(for the previous set) is enough, leave it.

PAGE NO. 71 POST NO. 703
You have posted like this. Since his trading was intraday make a entry like following.
Broker a/c dr
Other charges(stt, stamp etc) a/c dr
To profit a/c cr

Since it determines the tax audit, shouldn't be the entry trade-to-trade basis?
Like if he do 50 trades, 50 entry needs to be in the cash book. Am I right? or it can also be done in other way as you said? (Because, profit/loss for the day will be reflected here not profit/loss of every trade done)
With ref. to this you have a post. (POST NO. 706) I couldn't understand what you are coming to say? Can you please be more clear in this?(Before clearing 706, please clear the above)

POST NO. 1199:
You have said "Can be Business or capital gain income depends on volume"
What do you mean by VOLUME here? What's the limit which differentiate capital gain or business?

POST NO. 687, PAGE NO. 69:
He's salaried, his income is 1.51L. He earned 6 K which falls on STCG. No intraday, No derivatives. He is an individual, STCG should be added with his salary and based on his tax slab he should pay tax. WHY SHOULD HE NEEDS TO PAY 15% FLAT?
I am smelling information like this, STCG can be treated as BUSINESS or CAPITAL GAIN. If BUSINESS, it will be taxed based on slab(for individual). If its CAPITAL GAIN, flat 15%. What makes to determine the transaction is BUSINESS or CAPITAL GAIN?


CASH BOOK means JOURNAL???

CALCULATING TURNOVER(Short term and Long term - CASH):
Adding buying price*quantity+selling price*quantity
or just selling price*quantity

WHAT DO YOU MEAN BY 'WITH INDEXATION' & 'WITHOUT INDEXATION'?

GIFT - TAX:
You have said gift between relatives is tax free. We(TJ members) have discussed one scenario where one gifted 1lakh FD and interest earned on that FD become tax free (gifting it before interest accrued) and also a link outside TJ explains how he saved interest on FD of 78lakh by gifting them to his family members. I didn't make a note of those post no. or page no. I guess, you would remember now.

And in one your post you mentioned like this, X gift's some money to his wife, she trades and earn some. You said that the amount she earned on the gift amount will be taxed on X's head. HOW? HOW? HOW? (Even here the amount earned was after gifting it, not before gifting)
In the first scenario he escapes not paying tax for the interest earned on FD by gifting it. The amount earned by the wife should be taxed on her own head why on X's head?

I guess, I made shorter than previous. I have few more original (MY) case to clarify. I will post them after getting reply(both this and previous set).

He (DIOSYS) being alone on the other side and facing bunch of guys shooting with questions. Now diosys look like one man army.
Dedicating time in his busy schedule, and that too for years.
This is the only thread created by him. He has posted 625 posts out of which 532 post only in this thread i.e., 85% of his posts are in this very thread. See, how much time he spends here in this thread.
When I read some post, that makes me comment something funny. And I realize that there is someone who dedicates his time and should not mess this thread with my comments.
I joined this forum two years ago, After realizing that this is not a tech forum where we can get reply faster, I come to this forum very rarely. You can check my statistics how active I was before these last 40 days in this forum.
After I am getting response and I need some information from TJ, I stayed and now in this thread i am getting a lot because of diosys
Hat's off man you're really really doing great.:thumb:

Thank you for your comments and i really skipped this one somehow....

Entry - You are probably confused by the aggregate of profit and loss. It is not the profit and loss of each and every entry which is required (this is an interpretation not a finality). but the profit and loss for the day which is taken into consideration. Hence that mode of entry is correct.

There is no limit to differentiate between the two....It is the intent which is critical...How you prove that is another matter and is very very subjective.

cash book is not journal...infact they contrary to each other.

Two options available under the act for a person to pay tax without indexation benefit or with...

It seems you are cross questioning without somehow understanding the scenario as a whole. Where in the FD post was it mentioned that it is being gifted to wife... WHERE ? WHERE ? WHERE ?

 

[nac]

^ Thank you.

Calculating Turnover:

How to calculate Turnover for delivery based trading in cash market?
1. adding buy value and sell value (or)
2. just sell value

So far, my questions was based on posts submitted here in this thread and my doubts based on them. Now, here is my case...

TAX REFUND:
I have filed ITR for last two years (FY - 2007-08, and 2008-09). I have claimed some amount in both the years. But till date, I didn't get back any tax refund.
Is there any way to get back the amount?
Where we can check on online?
Normally, How long it will take to get back the amount? (I mean tax refund)
In PAN, my address is X and I submitted my ITR in chennai. (Since I was working in chennai, I submitted in chennai) This could be the reason, I didn't get my money back???

REVISING ITR:
I started trading in indian stock market since April 2008 (Trading account was opened in march 2007). I was working then and I was doing only intraday in cash market. Since I didn't know trading, I do trade for some days and give a pause and resume after a while. In that year my loss was around Rs. 5000/-. I didn't show this in that year.

Last year I left my job.
While I was looking for a job, I did some day trading in cash market. And one trade in futures, and two short term position. In that one position I am still holding (its in negative). This year I lost around Rs. 5000 including intraday, Futures and delivery. What's the form I need to fill? (I guess, ITR 4). I am sure I can carry forward these losses.

If you ask me to revise last financial year's(2008-09) ITR, I will get my tax refund??? and will they allow me to carry forward my loss???
If I won't get the tax refund(If I revise), I don't wanna revise it. Even though they didn't refund any amount till date. I can hope IT will do refund sometime in future... Don't they?

In all the above cases, the loss was only my trading loss (including brokerage and other fees). I didn't add this broadband charges etc. Is this possible to add accounting opening charges(demat cum trading account) too with these expenses.

(I think only trading loss can be carry forward to next year, not expenses like broadband charges.)-Correct me if I am wrong. Because, If I can add those expenses along with loss, I can carry forward those expenses too.

 

[diosys]

^ Thank you.

Calculating Turnover:

How to calculate Turnover for delivery based trading in cash market?
1. adding buy value and sell value (or)
2. just sell value

So far, my questions was based on posts submitted here in this thread and my doubts based on them. Now, here is my case...

TAX REFUND:
I have filed ITR for last two years (FY - 2007-08, and 2008-09). I have claimed some amount in both the years. But till date, I didn't get back any tax refund.
Is there any way to get back the amount?
Where we can check on online?
Normally, How long it will take to get back the amount? (I mean tax refund)
In PAN, my address is X and I submitted my ITR in chennai. (Since I was working in chennai, I submitted in chennai) This could be the reason, I didn't get my money back???

REVISING ITR:
I started trading in indian stock market since April 2008 (Trading account was opened in march 2007). I was working then and I was doing only intraday in cash market. Since I didn't know trading, I do trade for some days and give a pause and resume after a while. In that year my loss was around Rs. 5000/-. I didn't show this in that year.

Last year I left my job.
While I was looking for a job, I did some day trading in cash market. And one trade in futures, and two short term position. In that one position I am still holding (its in negative). This year I lost around Rs. 5000 including intraday, Futures and delivery. What's the form I need to fill? (I guess, ITR 4). I am sure I can carry forward these losses.

If you ask me to revise last financial year's(2008-09) ITR, I will get my tax refund??? and will they allow me to carry forward my loss???
If I won't get the tax refund(If I revise), I don't wanna revise it. Even though they didn't refund any amount till date. I can hope IT will do refund sometime in future... Don't they?

In all the above cases, the loss was only my trading loss (including brokerage and other fees). I didn't add this broadband charges etc. Is this possible to add accounting opening charges(demat cum trading account) too with these expenses.

(I think only trading loss can be carry forward to next year, not expenses like broadband charges.)-Correct me if I am wrong. Because, If I can add those expenses along with loss, I can carry forward those expenses too.

It is only sell value for delivery in cash...

The moot question asked is revision of your ITR. See since the time has gone by hence revising your ITR would not have any impact and this loss would not be allowed to be carried forwarded hence no point in revising.

Getting the refund can most probably be done through some professional help in the city from which the PAN was applied. You might not get it in this life if you do not go for this method...OR it can be possible it it comes tomorrow...So it depends there is no fixed timeline for refund.

 

[nac]

^ What's the form I need to be filled for this FY?
Can I carry forward expenses along with the losses made?
Professional help (sounds like their charge would be more than my claim).

 

[diosys]

^ What's the form I need to be filled for this FY?
Can I carry forward expenses along with the losses made?
Professional help (sounds like their charge would be more than my claim).

I would suggest ITR-4 since it would be business loss...Yes you can carry forward the expenses done for incurring the loss...They form part of your total loss...

Professional help does come at a cost...Otherwise run yourself to the department every 15 days.

 

[nac]

^ Thank you.

Sorry, if I annoyed you by asking too much of questions.

 

[xtalk]

Hi diosys,

Last FY I had opted for efiling of IT returns (without digital signature). So, now I have the ITR-V form and printed email copy of “ACKNOWLEDGEMENT OF RECEIPT OF ITR-V” from Income tax department. Will it work as income proof statement?

I heard earlier that scanned copy of "Stamped" ITR-V will be available to download from efiling site, but I don't see that under "My Account->e-filing processing status".

What's your opinion on this?

 

[diosys]

Hi diosys,

Last FY I had opted for efiling of IT returns (without digital signature). So, now I have the ITR-V form and printed email copy of ACKNOWLEDGEMENT OF RECEIPT OF ITR-V from Income tax department. Will it work as income proof statement?

I heard earlier that scanned copy of "Stamped" ITR-V will be available to download from efiling site, but I don't see that under "My Account->e-filing processing status".

What's your opinion on this?

Yes, that should be sufficient proof since it contains the e-filing acknowledgment number.

Till now such stamped receipt is not available.

 

[Chanakya]

dear

if some one have income from short term gain only say 1 lacs or 4 lacs this year then what will be tax liability for the yesr?

Chanakya