Is intraday trading income business income or capital gains?

Business income, and specifically speculative business income under Section 43(5), because no delivery takes place. It is taxed at slab rates and reported in ITR-3.

How are F&O profits taxed?

As non-speculative business income at slab rates. Losses can be set off against any income except salary and carried forward for eight years, provided the return is filed on time.

What is the LTCG exemption on shares?

₹1.25 lakh of long-term capital gains on listed equity and equity funds is exempt each year under Section 112A; the balance is taxed at 12.5% for transfers on or after 23 July 2024.

Can crypto losses be set off against crypto gains?

No. Section 115BBH taxes each profitable transfer at 30% and disallows set-off of any loss, even against another crypto gain, and bars carry-forward.

Do I need a tax audit for F&O?

If turnover exceeds ₹10 crore (with 95% digital transactions), or if you declare profit below 6% of turnover and your total income exceeds the basic exemption limit, a 44AB audit is required.

Share Trading & Crypto Tax Calculator

Tax on intraday, F&O, delivery gains and crypto for the year, each under its own section and rate.

Switch tool

Regime

Other taxable income (salary etc.) (₹)

₹

Intraday equity profit (₹, negative for loss)

₹

F&O profit (₹, negative for loss)

₹

Short-term delivery gains (₹)

₹

Long-term delivery gains (₹)

₹

Crypto / VDA gains (₹)

₹

Tax by activity

Slab-rate incomeother income + intraday + F&O profit

₹ 0

Extra tax on intraday + F&Oat your marginal slab, incl. cess

₹ 0

STCG tax @ 20%Section 111A, incl. cess

₹ 0

LTCG tax @ 12.5%Section 112A above ₹1.25 lakh

₹ 0

Crypto tax @ 30%Section 115BBH, incl. cess

₹ 0

Total tax on trading

₹ 0

Indicative only. FY 2025-26 rates: 111A 20%, 112A 12.5% above ₹1.25 lakh, 115BBH 30%. Intraday and F&O are business income and may require audit under 44AB; loss set-off and carry-forward rules are simplified. Surcharge is applied on the slab portion only.

How it works

Four buckets

Intraday and F&O are business income at slab rates. Delivery trades are capital gains at fixed rates. Crypto is its own flat 30% regime.

Slab tax is marginal

The tool computes tax with and without the business income so you see exactly what the trading added.

Fixed rates

STCG at 20%, LTCG at 12.5% after the ₹1.25 lakh exemption, crypto at 30% with no deductions, each plus 4% cess.

Which section your trading falls under

The income-tax treatment depends on what you traded and how long you held it. Intraday equity is speculative business income; F&O is non-speculative business income; both go into the slab with the rest of your income and must be reported in ITR-3, with books and possibly an audit if turnover is high. Delivery-based shares and equity funds are capital assets taxed at the 111A and 112A rates. Crypto and NFTs are virtual digital assets under 115BBH: a flat 30% on each profitable transaction, with no expenses other than cost, no set-off of losses even against other crypto, and 1% TDS at the point of sale.

Turnover and audit

F&O turnover is the sum of absolute profits and losses. Audit under 44AB is required above ₹10 crore (digital), or lower if you declare profit below 6% and are above the basic exemption.

Losses

F&O loss sets off against any income except salary and carries forward 8 years. Intraday loss only against intraday profit, 4 years. Crypto losses are dead.

STT and expenses

Brokerage, STT on F&O, data and software are deductible against business income. For capital gains only brokerage and transfer costs count.

Advance tax

Trading income is not subject to TDS, so advance tax instalments apply; use the advance tax calculator.