As F&O income considered as business income , currently big F&O traders are free to show expenditure against profit , But once Expenditures TAX laws comes into picture its going to change for sure , How much impact its going to make in F&O trading specially for retail traders ?
Expenditure tax is not coming to India. No big economy in world has implemented it and India is also not going to implement it.
Every time during budget time such discussion starts and fizzles out after budget.
Agreed Implications of such tax reforms may be huge & implementation even more difficult but who knows after demonetization and GST what is the next bold step
Demonetization and GST are not comparable. Demonetization was overnight decision. Tax reform can’t work that way.
GST on other hand was in discussion for more than 10 years. Multiple consensus building exercise were done by successive governments. Also, GST is already implemented in most western world and enough experience about it is globally available. After all this GST was a natural progression and was implemented.
As I said, every year in Dec and Jan people come up with this idea of expenditure tax. No FM has even said that they are considering it. And once they say they are considering it (if at all) after that it will take 10 years to implement.