Future and options : Everything an F&O Traders should know about Return Filing
Future and options : Everything an F&O Traders should know about Return Filing : 1.How to calculate turnover in F&O: The turnover in case of Futures and Options transactions is calculated as follows a. The sum of favorable and unfavorable differences shall be taken as turnover. Aggregate of both positive as well as negative differences will be taken together to calculate turnover in case of derivatives, futures & Options transactions. Or in other words both profits and losses will be added to calculate the turnover. b. Premium received on sale of options is also to be included in turnover. c. In respect of any reverse trades entered, the difference thereon, should also form part of the turnover. 2. Allowed Expenses under F&O: a. Brokerage, b. broker’s commission, c. subscriptions to journals related to trading, d. telephone bills, internet costs, e. consultant charges if you engaged a person or took advice from a professional who charged you. Or salary of a person...
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