Is it necessary to fill the BS sheet in ITR3 for an individual who does intraday trades. The excel utility of IT department has a message on BS sheet as below which is rather difficult to understand for the style of narration
Please clarify
following
edit: I have a similar query… if someone has salary income + business income + income from other sources & filling in ITR3… is this new BS thingie mandatory? I have been filing my own returns for many yrs & have never done this & getting hold of a CA last minute to help & sort this is gonna be really tough.
@quicko …pls help
Hi @Venmathi
When it comes to intraday trading, it is considered a business income, for which you need to maintain proper books of accounts, including a balance sheet.
Read more about Income Tax on Trading - Learn by Quicko.
As an indiviidual who does not do business as a proprietorship concern but an individual the Balance sheet would hardly have two entires on the asset side and two entries on the liability side. It seems rather funny. That is Bank balance and capital and the second being loan, if any and corresponding liability. More so the turnover is less than 10000 rupees.
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I find that it is not so. If book of accounts is not maintained we have another clause “other cases” where we several entries like sundry debtors etc including cash in hand or cash at bank. In which case i have to show it as capital. But zero balance sheet gets validated in excel utility of IT department and also Offline filing utility 1.1.3 . Please clarify the screen shoot below.
Please clarify clearly.
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Hi @Venmathi
This is just a warning message from the ITD. If you report intraday income it is considered a speculative business income and hence reported in ITR 3. In ITR 3 it is mandatory to report a balance sheet if you have business income.