Queries regarding leverage

Taxation
1

Respected sir,

As I’m new in this market I have few queries. Sorry for annoying you with my queries.

I’m a student. And i’m trading right now to learn.

I had a margin of rs 3000 and in cover orders in heat of the moment I executed around 30 orders on first day and 30 orders on second day.

in this process I made a total loss of 1800 rs.

In this cover orders I took leverage of Rs. 18,82,000 on first day and Rs. 5,10,000 on second day.

So my question is

  1. Will it have any impact on my income tax return filing ? Do I have to pay any other tax for using such huge amount of leverage.?

  2. Will it be shown on my Pan Card account ?

  3. And is there any limit of usage of leverage every month ?

Please enlightenment me with any precautions I should take regarding leverage. I’m using stop losses properly and even made a profit of rs 1300 but few trades got out of hand. So please helps.

Regards.

2

bro., when you are fresher, i’d suggest focus on minimal trade like 1 or 2, where you can have complete focus. and my second point is don’t take much leverage. leverage is the reason for almost all trader of reducing their capital.

#1 yes, the amount you have as leverage counts on turnover so it is counted in taxes.
#2 if it in taxable income or loss, and every trade is online, it is connected with PAN
#3 that is brokers point, they have limit to provide leverage, trader can take as much as brokers allow. (leverage is dangerous , try to avoid.)