Hey @raoawesome,
Reserve funds are typically not claimed as business income because they are not generated through regular business activities. Instead, reserve funds represent retained earnings or funds set aside for emergencies, future investments, or specific purposes. Reserve funds may be used to cover trading losses or to reinvest in the trading business, but they would not be claimed as income or expenses in the same way as regular business transactions.
Hope this clarifies!
I want to move to different city. I want to rent a house. how much percentage of rent I can deduct from FNO income.
Hey @Private,
You can claim expenses related to the business, in your case F&O trading. If you are renting a separate office/space exclusively for trading purposes, you can claim the rent you pay as an expense.
if there is freelance income where audit is not applicable.
but there is loss in FNO. Does audit is applicable in that case ? audit is applicable on both freelance and FNO ? or both business and profession consider seperate for audit ?
@Quicko
How taxation for shares transferred are taxed. In case i transferred my shares (director) to company account.
Hey @Sriharan,
Since the director and company are not treated as relative as per the Income Tax Act, if any director transfers shares to the company without consideration and the FMV of the shares is more than INR 50,000 then it would be taxable in the hands of the company (receipient).