Tax liability for salaried people

Taxation
1

Hi @CA_Anand_Thakor Sir,
If my tax liability is 2L from salary income.
And if my loss is 1L from F&O for the same financial year.
Will it reduce my tax liability?

Please comment.

2

@Vignesh3

Understanding Set-Off Rules for F&O Loss (Section 70,71,72 of the Income Tax Act, 1961)

  • F&O trading is classified as “Non-Speculative Business Income” under Section 43(5) of the Income Tax Act.
  • Salary income is taxable under the head “Income from Salary.”
  • As per above section, a loss under “Profits and Gains of Business or Profession” (F&O loss) CANNOT be set off against Salary Income.
1 Like
3

Thanks for details sir. It helps.