Dear All

I have received speculation profit and loss statement from my broker which shows total sale amount of shares Rs 524500/- and total purchase amount of shares 714500/- during F.Y. 2013-14 hence a total speculation loss of  Rs 190000/-.

Now, I want to declare all the above transaction in the return of income plus my salary income.

Q1. Under which head these sale and purchase transaction of sharesis to be filled, 

 kindly also tell the complete schedule and serial no. where these entries of sale and purchase to be filled in the return of income. 

Thanks

Shivani

IT SHOULD BE FILED UNDER BUSINESS INCOME AND INCOME FROM SPECULATION TRANSACTION MEANS SPECULATION BUSINESS.

Thank u Sir

Kindly also let me know the  schedule  and serial no. in ITR 4,where speculation sale 524500/-  and speculation purchase 714500/- of shares entries of to be filled.

Regards

Shivani 

Dear Shivani,
 

Shares speculation is not treated as speculation for income tax purpose. It is deemed as a normal business like any other business. It is covered under exemption list of section 43(5).

If you have any question, Pl post the same.

Kind Regards
TaxReply.com

It can be covered under exemp it is busisness incomehattion list of ssection 43(5) only of the conditions are fulfilled. The query does not say so . It is better to under stand the full facts before coclulding that is it buinsess income