As the March 15 deadline for filing advance taxes is nearing, Zerodha co-founder and chief executive officer (CEO) Nithin Kamath on Tuesday urged traders to file taxes on time and also asked them to check a quick guide to file taxes on the stock broker platform.
In a post on social platform X on Tuesday, Nithin Kamath said: “An important aspect of being an active trader is ensuring you file your taxes on time. But most traders ignore this and end up with notices.”
“March 15th is the deadline for filing advanced taxes, and many traders think that it may be applicable to them. If you have an estimated tax liability of ₹10,000 in the form of capital gains, then you have to pay advance taxes,” he also said.
Further, the Zerodha CEO explained that profits from futures and options (F&O) and intraday are considered as business income, and traders have to estimate their profits for the entire financial year and pay the applicable advance taxes.
To help the traders with the filing of advance taxes, Zerodha has posted a quick guide on its website.
ALSO READ: Received advance tax notice with inflated demand? It’s an error. Here’s what to do
The quick guide includes a video in which Quicko founder Vishvajit Sonagara explains what advanced taxes are, the common misconception, how to estimate advanced taxes and how to file them.
Earlier, the income tax department launched an e-campaign for the advance tax for FY 2023-24. Through the e-campaign, persons/entities carrying out significant financial transactions will be informed through email/SMS to urge them to compute and deposit their due advance tax on or before March 15, 2024.
“The Income Tax Department has received certain information on specific financial transactions undertaken by persons or entities during the financial year 2023-24. On the basis of an analysis of the taxes paid so far during the current financial year, the Department has identified persons /entities whose payment of taxes for FY 2023-24 (A.Y. 2024-25) is not commensurate with the financial transactions made by the persons/entities concerned, during the said period,” the income tax department had said in a statement.
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Published: 12 Mar 2024, 06:04 PM IST