On taxation of income derived from futures and options in India? I am an employee with an income of Rs 240,321. Under section 80C I savings resulting from tax exemption lake. So my income is 140,320. Up to 150,000 there is no tax and I do not pay any tax. I won by 300,000 between Fando stock. Now, how much tax should I pay?
240,321 Salary
300,000 Futures & Options
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540 321 Total gross income
Less 100 000 80C
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440,321 net
Least 150,000 tax free (for a male under 65 years)
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290,321 of taxable income
150,000 @ 10% tax (tax Rs.15, 000) (between 1.5 to 3 lakhs)
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140,321 @ 20% tax (tax Rs.28, 064) (between 3 and 5 lakhs)
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The tax will be 15,000 + 28,064 = Rs.43, 064 3% 1292 = edu.cess Rs.44, 356.
Net income tax to pay Rs.44, 356 / -
For equity transactions on a recognized stock exchange in India with STT paid if you hire short-term capital gains rate that IT is 15% for the year 08-09.
In the long term capital gains on share transactions are completely exempt.
Posted on May 31, 2010.
