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Dalal Street Primer - Chapter 6 - Questions

 
  1. When does capital gain arise on account of transactions in stock market?

  2. What does short term capital gain refer to?

  3. What does long term capital gain refer to?

  4. What is the difference between short term and long term capital gains, as regards taxation?

  5. Trading in shares is my business. does sale of such shares involve capital gains?

  6. To conduct my share trading business, i incur a lot of expenditure. can i claim such expenditure against the business income?

  7. Over the last few years i have accumulated shares in a company. now i have sold all of them. this has led to a capital gain. whether this is short term or long term?

  8. My business is share trading. i do incur losses. can i set off such loss against any other head of income or do i have no option but to carry forward the same to any future period? if the loss is to be so carried forward, for how many years i am allowed to carry forward the same and set it off?

  9. I have invested in shares and i incur expenditure towards brokerage, demat account charges, transfer charges etc. can i claim any exemption for the same?

  10. What are the tax consequences of shares not sold through a recognized stock exchange or where shares have not suffered stt on sale of shares?

  11. Under which situations the shares can be sold not through a recognized stock exchange or have not suffered stt?

  12. What is indexation? is it always beneficial to opt for indexation from income-tax point of view?

  13. Some shares have been purchased long back and now when they are sold, long term capital gain arises. the costs of the shares are very nominal. does this mean that i need to pay more tax?

  14. When bonus shares are allotted and subsequently they are sold, what is the cost of acquisition and the capital gains?

  15. Is there any provision for carry forward or set off of loss under the head capital gains?
 
     
 
       
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