HOW TRADING FROM A CORPORATE ACCOUNT CAN HELP YOU TO SAVE TAXES?
Since I myself have started trading from a corporate account recently, I'll share about my reasons for doing so and how drastically it can help to reduce taxes.
1: Save taxes:
The prime objective was only and only to reduce taxes. There's no other reason to trade from a corporate account.
2: Form a Pvt Ltd company : I've formed up a Pvt Ltd company since that's what I was advised by majority of the people including my CA as opposed to LLP/HUF.
3: Claiming Expenses: This is the most beneficial aspect of a pvt ltd company.
You can literally claim any expenses in the name of the company. Some of them are:
- Rent expense: You can literally claim your office rent as an expense. Your registered office can also be your own house where you live.
Further you can also claim electricity expenses and what not.