Can I fill ITR-1or ITR-2

I have 10-12 trades in F&o last year with a turnover of only 20000 and loss is 12000.
Apart from that only 2 intraday trades with a loss of Rs 63.
I don’t want to carry forward loss and don’t want to show business income/ transactions.
Can i fill ITR-1 or ITR-2 instead of ITR-3?
In ITR-2 can I show as short term capital loss or in ITR-1 any option?
Pls guide


I am trading for last one year and my income is around 12k of Profit. Whether i need to file Income tax Returns for this 12K profit or not ?
Kindly Respond and Thanks in Advance

Hey Sushil,
You can report F&O income under Capital Gains. Thus, ITR-2 should not be filed. The income should ideally be reported as non-speculative business income. However, if you do not wish you claim the loss, you may not report it in the ITR. Further, the Income Tax Department may issue a tax notice for mismatch since it has details of all your trading transactions.
For any further help, drop in your contact details at [email protected] for one of our experts to get in touch with you.

Hey Mukesh,
If the Total Income in the financial year does not exceed the Basic Exemption Limit of INR 2.5 lacs, it is not mandatory to file the Income Tax Return. Thus, you need not file your tax return if all the total income from all the sources is less than INR 2.5 lacs.

Thanks Quicko and Team for Clarification.

We are glad we could help :slight_smile:

@Quicko what if someone has thousands of trades in FnO . Can he treat this as capital gains instead of business income

Hey Prakhar,
F&O trading is considered to be a Non-Speculative Business Income. It cannot be considered as Capital Gains. If you have income from F&O trading, you should prepare and report financial statements and file ITR-3.
Read more about Income Tax from FnO trading here.