Hi,
I'm santosh and I'm an Intra-day share trader. My trading capital is Rs.70,000 and on average, per month I'm able to make a profit of Rs.10,000.
So, for a year, my annual income from share trading is Rs.1,20,000. I donot have any other source of income.
Can you please tell me how do I calculate my taxes? Please do remember that I'm "intra day trader" and do not invest for long-term or even more than 2 days.
2007-03-27 21:19:17 · 2 answers · asked by santosh Y 2 in Business & Finance ➔ Taxes ➔ India
From the nature of transaction under taken by u it can be interpreted that you r engaged in speculative business , so your income can be computed under" Business Income " , however u can claim tax rebate under section 88E of income tax act 1961.
Slab rate will be applicable to u so accordingly u have to pay tax on Rs 20000 (ie 120000-100000) since income upto Rs. 100000 is exempt from tax.
2007-03-28 00:50:30 · answer #1 · answered by Sunnykvb 1 · 0⤊ 0⤋
u need to pay Short Term Capital Gains Tax
2007-03-28 04:46:11 · answer #2 · answered by sushobhan 6 · 0⤊ 0⤋