# Tax on options trading

**URL:** https://tradingqna.com/t/tax-on-options-trading/117625
**Category:** F&O
**Created:** [September 2, 2021, 7:58am UTC](https://tradingqna.com/t/tax-on-options-trading/117625 "2021-09-02T07:58:51Z")
**Posts on this page:** 3
**Page:** 1

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### Author: ![vulchi\_Yugandharvarm](https://tradingqna.com/user_avatar/tradingqna.com/vulchi_yugandharvarm/32/47572_2.png) [@vulchi\_Yugandharvarm](https://tradingqna.com/u/vulchi_Yugandharvarm)
#### Post date: [September 2, 2021, 7:58am UTC](https://tradingqna.com/t/tax-on-options-trading/117625/1 "2021-09-02T07:58:51Z")

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I do only nifty and bank nifty options buying only . In zerodha it is showing a turnover of 2.5cr for the two quarters but my gross profit is only 2.3L and net 1.7L .I want to know

1. Should I audit for current year
2. Should I pay income tax on turnover or gross profit or net profit.
3. Will there be any impact on tax that I should pay if turnover rises

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### Author: ![ShubhS9](https://tradingqna.com/user_avatar/tradingqna.com/shubhs9/32/32667_2.png) [@ShubhS9](https://tradingqna.com/u/ShubhS9)
#### Post date: [September 2, 2021, 8:13am UTC](https://tradingqna.com/t/tax-on-options-trading/117625/2 "2021-09-02T08:13:59Z")

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@Quicko can you.

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### Author: ![Ragavendran\_V](https://tradingqna.com/user_avatar/tradingqna.com/ragavendran_v/32/28191_2.png) [@Ragavendran\_V](https://tradingqna.com/u/Ragavendran_V)
#### Post date: [September 2, 2021, 11:49am UTC](https://tradingqna.com/t/tax-on-options-trading/117625/3 "2021-09-02T11:49:14Z")

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Tax is only on net profits. Tax payable will not change even on increase in turnover.