Income Tax Return Form

Income Tax Income from Capital Gains
1

Hello sir,

             I was a lecturer and used to submit ITR 1 every year. From one year I am not doing any job due to health problems and I don't have any assets or house rents. I am doing only stock market trading and that too short term capital gain(STCG), Intraday, and F&O . I am new to the stock market and incurred losses. I came to know we can show losses and carry forward to next years, I wanted to submit the ITR form . I can please tell me which ITR form I have to submit.

thanks in advance

2

Hey Dixita,

Since Intraday Income and F&O Income are considered as Business Income, you need to file ITR 3. Read more about Income Tax on Trading.

Loss from Equity Intraday trading is a speculative business loss. You can carry forward the loss for 4 years and adjust it against Speculative Income in future.

Loss from F&O trading is non-speculative business loss. You can carry forward the loss for 8 years and set off against both Non-Speculative Income and Speculative Business Income.

Read more about Non-Speculative Income and Speculative Business Income

Hope this helps :slight_smile:

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