At the moment me and my spouse each are buying and selling in choices by pledging shares/MFs.As soon as i turn into NRI, i cannot have any revenue in india apart from few FD revenue and many others. Therefore if i switch all my shares and MFs to my spouse account after which pledge and use margin for buying and selling in choices , how is the tax to be paid.
1st situation – Spouse pays revenue tax on her MF/share capital achieve in addition to Choices revenue. Additionally she pays choices revenue from the margin she will get from the MF/shares which i’ve transferred. And myself pay revenue tax provided that there’s capital achieve type the MFs/shares which i transferred to her becasue of clubbing of revenue?
2nd scenerio – all tax she solely pays…
some other situation? what’s the right manner of doing factor’s…i need to switch to her account and pledge as a result of if i do F&O as choices in my accoutn as NRI, then i can’t pledge and likewise transaction costs are excessive.
sandeep0604:
Please any individual reply
As soon as the holdings are in your spouse’s account, she should pay tax on any capital achieve arising within the account. tagging @Quicko to supply extra correct particulars.
Howdy @sandeep0604,
While you switch MFs and shares to your spouse there is not going to be any tax legal responsibility for you or her, it will likely be handled as a present. When your spouse sells the MFs and shares transferred by you to her, it will likely be handled as Capital Positive factors for her and she or he should pay tax on the identical.
On all of the choices transactions executed in her Demat account, she should pay tax on the income.
Hope this helps!
how capital achieve calculated right here, The entire worth of reward is handled as capital achieve proper?evaluating to if he saved the share and sells from his account he solely should pay capital achieve from revenue.
Howdy @Joe_Maxpayne,
The husband is not going to should pay any taxes when he presents the shares to spouse. When the spouse sells the gifted shares, the acquisition price can be taken that of husband. The distinction can be thought of Capital features.
Hope this clarifies!
However will it to not be added as husband’s revenue stating clubbing of revenue ?