I have made loss of approximately 13k in day trading and have understood that it is not meant for me. So I have decided to just concentrate on investment rather than day trading. I have made losses in last financial year as well but its a meager amount. Turn over 210 and loss of 104. Since one of the section of income tax says if turnover is less than 2 cr and profit is less than 6% then you have to get books audited. Now my question is,
- Can I show profit of 6% over the turnover although I have made losses, and pay taxes accordingly, and get over with tax audit requirement ?
- I am a freelancer. I have income in 10% bracket, but after 80C deduction it comes under 5% bracket. So, if I show 6% of 210 as profit = Rs 12.6 as profit, and pay 5% of 12.6 as taxes = Rs 0.63 as taxes, then I can avoid tax audit?
- Can I show freelance income and speculative business income (day trading) under same head? If yes, then do I need to pay taxes on the speculative business income separately. I am paying taxes on my freelance income TDS deducted @ 10%.
- Which ITR should I file ?
- I do not wish to use presumptive scheme of income tax?
Can someone with knowledge on the above topic shed some light as I am little worried and confused.