F&O tax

20% levy on short-term capital gains has given young F&O traders a tax incentive

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20% levy on short-term capital gains has given young F&O traders a tax incentive

NEW DELHI : Ahead of the Union Budget 2024-25, rumours were rife that tax on futures and options (F&O) would be increased to curb the increasing retail participation in the derivatives market. But while the Centre didn’t touch F&O, barring a nominal increase in securities transaction tax (STT), it increased tax on short- and long-term … Read more

Budget may hike tax on F&O trading. Here’s what it could mean

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Budget may hike tax on F&O trading. Here's what it could mean

The finance ministry plans to impose higher taxes on futures & options (F&O) transactions in the upcoming Union Budget, as per recent reports. Proposed changes include reclassifying these transactions as ‘speculative income’ from ‘non-speculative business income’ and potentially introducing TDS on them. This news has unsettled the trader community. Let us understand why. Derivatives are … Read more