can anyone tell how brokerage+tax charged on buying equity for longterm holding is shown,
for eg=
1=bought 10shares of reliance for 800rs in 2016 and sold in 2017
so in itr ,
show in itr for 2017-18= bought 10 ,sell 10 and brokerage+tax on both side
or
show in itr for 2016=bought 10; brokerage+tax on buy side
and
show in itr for 2017-18= sell10 ; brokerage+tax on sell side
thx
The Cost of Shares purchase are all cost which are Directly related to purchase of shares. If you declare the stock as Investment , then value of investment will be Shares Value + Brokerage + STT + Stamp Duty + Sebi Charges + Transation Charges etc which are paid to purchase the shares.
When we sell if we enter Gross sales , then we need to add cost of sales under expenses and if we enter Net sales post expenses then you can minus the above cost of purchase to get the profit.
We need to remember when we claim STCG , we shouldn’t take STT as Cost.
can you explain little more=
"The Cost of Shares purchase are all cost which are Directly related to purchase of shares. If you declare the stock as Investment , then value of investment will be Shares Value + Brokerage + STT + Stamp Duty + Sebi Charges + Transation Charges etc which are paid to purchase the shares."
purchase should be shown in itr in year of purchase? or year of sell?
Please explain this by example=
"We need to remember when we claim STCG , we shouldn’t take STT as Cost"
thx
When you are booking your Investment cost , you can remove the STT portion so that in future you need not remember.