Haha controversial but do they even trade? Seems like their biz is selling courses
Hey
Have you seen this circular from SEBI (5.7)
An Authorised person (earlier sub broker) can trade with their funds in a prop account. They just cannot accept money from public. So a pvt ltd company can trade with its own funds if it becomes an Authorised person with a broker.
Similarly if the pvt ltd company becomes a trading member
or stock broker at the exchange it is possible to operate a prop account without NBFC license.
No idea. May be illegally. 
Not really.
Not very sure here. But I know when the company changes it’s object clause in MOA for the purpose of trading, the application gets rejected from ROC with remark “Kindly upload NBFC licence”
Again not very sure if it happens when the company becomes a trading member as stated by you.
Already shared my opinion once here. I don’t really think they save much. In fact then may even end up paying more because of compliance cost.
Trading members at the exchange have been running prop desks for years. In recent years some top stock brokers stopped this to look good to the customer. Thats all. They probably have other entities to run their prop desks which legally is another entity 
RBI NBFC 50:50 rule doesn’t apply to stock brokers / sub brokers now Authorised persons.
Not very sure, but isn’t the cost to get such membership from exchange also expensive. I have read couple of posts from Mr. Nithin where he himself says that it comes with a huge cost.
Again. What’s the cost of Alpha membership ?
Fyers provides CA without charging any fee. 100 times better than Zerodha
To register as an AP of a broker is not costly at all. Only when one wants to become a full service stock broker the cost mentioned by Mr.Nithin kick in.
https://www1.nseindia.com/membership/content/fees_depst_n_net_req.htm
Up to 2Cr profit, the tax rate is about 34%. If you include your family in trading, that can easily be 5 accounts. So you really don’t need to worry about all this until you make over 10Cr profit annually.
I know the cost associated. I was saying the cost involved in getting membership is much more than the benefits. May be I wasn’t very clear and it sounded like a query.
I have been saying this from long time. The ones who are saying you can save tax by incorporating a company do not really know the compliance involved. Moreover there is double taxation involved as well. Tax on income and again tax on the distribution of income in the hands of the shareholder.
This is exactly what I mean by people do not know much about taxation and jump to conclusions. There is no ddt anymore. Dividend is taxable in the hands of the shareholder. Imagine tax for the shareholder if he falls in the highest tax bracket.
Double taxation can be avoided by always taking out money in the form of salary for employees/director. I also presume that people trading in company account avoid taking out money as much as possible. Big investments could be done on behalf of the company.
The traders profitable enough to reach such high figures in annual profits might already have their monthly expenses sorted out in form of other income.
Yes. This can be done. But for how long.
Some day or the other he has to draw it right.
You can delay it as long as you want. It’s like you have money but you can’t use it. Company money can’t be used for personal expenses. You can make investment and then what.
Since you are delaying taxation it may make some difference if your income is more than 10cr but I do not think any of the ones posting here and asking if they can incorporate company have that income.
They might be hoping one day India will become tax free.
I don’t know the average profits of people here. If you delay taking out 5 crores or 10 crores for 5 to 10 years, it will be significant savings due to compounding effect of lower taxes and higher growth.
Even I don’t know the purpose of having money in the account but unable to claim it. Maybe some CAs advise them on grey ways to withdraw or spend it.
Even I know some ways in which you can still take it out. But it’s not worth the pain.