Pl suggest whether ITR2 or ITR4 and Audit requirement.
Salaried Individual = 4.6 lacs
Intraday shares Profit= 4500 (on Turnover 0.1 Crore)
Delivery trades loss (short term loss)= -4700 ( on Turnover 1.3 Crore) ; High frequency trades ( about 350 transactions/year, inclusive of both Purchase and Sale on regular basis).
Bank interest just around 10 thousand.
Not traded in F&O .
I had filed ITR2 in previous years.
I have not maintained any Books of Accounts other than PnL / Ledger Statement from Broker.
1. How do I classify myself….. Investor or Trader (Business) ?
2. Can I file in ITR2 with STCG…. if YES…. how to show Intraday Profit in ITR2.
3. If not ITR2, can I file in ITR4 without AUDIT?
( because my Intraday Turnover is < 1 Cr and Profit is > 8% as mentioned above) and Turnover does not matter in case of Capital Gains from Delivery trades.
I am really not a full time trader, but high frequency trades happened due to Online facility and Android phone, all these transactions were done during after market hours at night / market hours at work.
Pertinent solutions in this regard would be greatly appreciated and thanks in advance.
Intraday trades come under speculative business and when you come under business head ( Speculative or non speculative) you should use either ITR 4 or 4S. Classification of self into investor and a trader can be on basos of your past practise to classify yourself , your time devotion on activity , volumes of trades , continuity and consistency with which you follow these all principles. If you are involved in to HFT traders then our advise will be to classify yourself as trader .