About the Taxation category

Taxation
1

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2

As a salaried individual, can one show loss in trading as negative income, thereby reducing tax burden?

3

There can be loss or profit which should be factual. If you incur loss , then you can have negative income too. But the Loss under equity cant be offset against salary , so tax return will be positive

4

Speculative business losses can be used to offset speculative income only.
Non speculative business losses can be used to offset other business income (speculative & non-speculative).
Business losses cannot offset salary income.

So in your case, the answer is no, it wont reduce the tax burden for the year. But you can carry forward your business losses to future years.

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5

I trade & earn through long term, swing & intraday & usually file ITR2. No other income.
I never use any margin money & trade in cash. Experts tell me to file ITR3. What should I do ?

6

if your income includes the business income than you have to file ITR-3.(for presumptive income from Business & Profession file ITR-4). file the proper data under Balance sheet and profit & loss A/c.
you can find the utility here- https://www.incometaxindiaefiling.gov.in/downloads/offlineUtilities?lang=eng

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7

For someone whose total taxable income is around 3.5 lakhs,does he have to pay short term capital gains tax on profit of 50,000 rupees??

8

Hey @Ashok9,

STCG is taxed at 15%. However, you do get a rebate u/s 87A if the total income is below ₹5 lakh.

Hence, there would be no tax liability on the STCG.

Hope this helps!

9

What are the changes in mutual fund taxation in debt / equity less than 65% category?

10

Hey @nikhil27,

Earlier, debt mutual funds were taxed at 20% along with indexation benefit for LTCG and at the slab rate for STCG. However, after the amendment, debt funds bought after 1st April 2023 will be taxed at the slab rate irrespective for the holding period.

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