Personal Loan or Loan Against Securities?

General
1

For Claiming interest expense against options profits should i take personal loan or Loan against securities or Business loan?

2

Indian Income Tax Act - Section 36(1)(iii) - Interest on Borrowed Capital
This section allows deduction of interest paid on capital borrowed for business purposes.

Allowable Interest Deductions:

  • Interest on loans taken for business or professional purposes

Conditions for Deduction:

  • The loan must be for business purposes
  • Interest must be actually paid or payable
  • The expenditure must be wholly and exclusively for business

ig no lender would grant you business loan when you explicitly declare that you would trade options

so personal loan or Loan against securities would be my best bet

3

Hi Quicko Any help on my query

4

Any suggestion from Quicko