Hello,
A software professional makes a revenue of 20lakhs in a year. Will use 44ada for this.
So profit is at 10lakhs.
She also does share trading.
Intraday profit: 1lakhs.
Short term capital Loss: 2lakhs.
Future and Options Loss: 3lakhs.
She used margin trading, so she was charged interest of total 2.5 lakhs.
How does this work? Which losses can be carried for how many years so it can cover next years profit(if any).
Also, where can this margin trading interest be deducted from?
Thanks for your help.
Software professional seeks guidance on carrying forward trading losses and deducting margin trading interest under Section 44ADA. A software professional with an annual revenue of 20 lakhs plans to use Section 44ADA, resulting in a profit of 10 lakhs. She also engages in share trading, with an intraday profit of 1 lakh, a short-term capital loss of 2 lakhs, and a futures and options loss of 3 lakhs. Additionally, she incurred 2.5 lakhs in interest due to margin trading. She seeks guidance on how to carry forward these losses to offset future profits and where to deduct the margin trading interest. (AI Summary)
TaxTMI 
TaxTMI 
