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

[Snake.Head]

Tax department kisi ko bhi preshan kar sakta hai....
I have seen a person comiting suicide due to harassment by IT officials. So please be on top of your documentation if u do not have any political connection...

Sent from my AO5510 using Tapatalk

Don't need to worry anything if you are honest if you are clear about income source and done nothing wrong.
Even their still demand then you take upto case.
First of all if you are find CA and audit fee high side then you should't not be trading in first place
You can include CA fee in next year IT return.Their are lot of way of saving tax read online

 

[Square]

Don't need to worry anything if you are honest if you are clear about income source and done nothing wrong.
Even their still demand then you take upto case.
First of all if you are find CA and audit fee high side then you should't not be trading in first place
You can include CA fee in next year IT return.Their are lot of way of saving tax read online

Salaried traders can be targeting around 1 - 2 lac profit in a year from trading so audit charges are certainly higher even considering 10k as fees it will be between 5 - 10% of profits. For a loss of 67k paying 10k is almost 15%.

 

[Snake.Head]

Salaried traders can be targeting around 1 - 2 lac profit in a year from trading so audit charges are certainly higher even considering 10k as fees it will be between 5 - 10% of profits. For a loss of 67k paying 10k is almost 15%.

You know you put fee in expanse and lower limit next year
It is Cost of doing business.
Again if you finding it costly then thinking before trading
Their are lot of online tax firm those days which offer 6-8k for audit

 

[Square]

You know you put fee in expanse and lower limit next year
It is Cost of doing business.
Again if you finding it costly then thinking before trading
Their are lot of online tax firm those days which offer 6-8k for audit

You are right, the fees can be adjusted against profit so lower tax has to be paid on profit.

 

[Square]

You know you put fee in expanse and lower limit next year
It is Cost of doing business.
Again if you finding it costly then thinking before trading
Their are lot of online tax firm those days which offer 6-8k for audit

Also if audit or such thing is must then I hope there will be many online auditors who may do it for a much lesser fees, could be as low as 3 digits for salaried derivatives traders. Something like what zerodha did to the broking industry.
We do not need a full fledged CAs with plush offices, staff and specialists to do audit for things which are already available through brokers reports and statements. To me it looks extremely easy and a few minutes job to check online brokers reports - ledger statement, trades statement etc, tally funds withdrawal or transfer with bank statements.

 

[canikhil]

Also if audit or such thing is must then I hope there will be many online auditors who may do it for a much lesser fees, could be as low as 3 digits for salaried derivatives traders. Something like what zerodha did to the broking industry.
We do not need a full fledged CAs with plush offices, staff and specialists to do audit for things which are already available through brokers reports and statements. To me it looks extremely easy and a few minutes job to check online brokers reports - ledger statement, trades statement etc, tally funds withdrawal or transfer with bank statements.

I will just weigh in with a small comment.

What Zerodha has achieved is that people trade more and more. While they don't pay much in brokerage compared to many other brokerage firms, you should see the losses piling up. All what low cost of doing business does for you is to make you take more risks. I audit crores of Rupees lost in trading activities every year and I am yet to see more than a couple of traders being able to benefit out of this low cost trading.

 

[Square]

I will just weigh in with a small comment.

What Zerodha has achieved is that people trade more and more. While they don't pay much in brokerage compared to many other brokerage firms, you should see the losses piling up. All what low cost of doing business does for you is to make you take more risks. I audit crores of Rupees lost in trading activities every year and I am yet to see more than a couple of traders being able to benefit out of this low cost trading.

My activity increased when I moved from Angel to zerodha and take home, inversely proportional. But still there might be a big business opportunity for online cheap auditing not related to no of transaction or volume but at a fixed cost for small derivative traders as I mentioned in my last posting.

 

[canikhil]

My activity increased when I moved from Angel to zerodha and take home, inversely proportional. But still there might be a big business opportunity for online cheap auditing not related to no of transaction or volume but at a fixed cost for small derivative traders as I mentioned in my last posting.

Well, for my views on Zerodha, you need to take a macro view on a large number traders instead of your personal experience alone.

Further, there is a reason why auditing costs cannot be driven down too much. There is a limit on number of audits a CA can do. With limited supply, driving costs doesn't make economic sense as there is no economic benefit for the CA.

A CA has a total limit of 60 44AB audits. This limit is not going up irrespective of what he/she charges. So I better spend time on a client that pays 20K instead of working on 5 clients who pay 4K each.

 

[Square]

Given all this, I feel that it is better to invest in shares and mutual funds than trade derivatives. There atleast there will be no audit thing needed and IT notices also may not come. My mutual funds profit was 14k without any botheration or monitoring.

 

[Jenu]

We need Discount Broker along with a Discount CA