Fno Trader want to reduce tax obligations

Hi,

Problem Statement:

My income source is FnO trading and curently I am doing as an individual.
I need audit as per my revenue and have to pay around ~38% tax including cess and surcharge. on my taxable income after calculating as per slabs.

So, I want to start as pvt ltd to save tax as there is 25% cap on tax this financial year onwards.

It will need registering the company, accounting , audit and tax filing.

Queries:

  1. Anyone using such way to achieve the similar, or any other way?
  2. If yes, please recommend any online service which gonna help here?

Thanks

Thanks

There are a lot of threads on this in this forum - both taxation and business aspects. Suggest you to go through them. Search “pvt” or “partnership”

1 Like

You can’t incorporate a private limited company for the purpose of trading.
Alternatively you can form a partnership firm and save a small amount of tax.

I have mentioned this in multiple posts. Found something when I searched.

Hi,

may you please share some doc or link to check out such regulations which disallows opening pvt ltd for pure trading buisness.