₹1.27 lakh crore. That is how much Indian investors have borrowed just to buy stocks right now, an all time record.

Nearly half of that borrowed money is stuck in stocks that may have no buyer when the price falls.

Here is the mechanism most retail investors do not know exists. 🧵 This borrowing mechanism is called MTF, Margin Trading Facility.

It lets you buy stocks by paying only part of the price upfront. The broker funds the rest as a loan against your stock as collateral.

At 3:1 leverage, you put up ₹25 and buy a stock worth ₹100, with ₹75 borrowed.

Filed ITR-3 with F&O income last year?

The form has changed this time. And the change puts you directly under the tax department's scanner.

Here is what every F&O trader must know before filing AY 2026-27. 🧵 Earlier, F&O turnover was simply clubbed with other business receipts in the trading account. The tax department had no easy way to assess the actual scale of your derivatives activity.

That changes now. ITR-3 has two new dedicated fields.

a. Field 12c: F&O Turnover
b. Field 12d: F&O Income transferred to P&L

One change. Much bigger scrutiny.

622 pages. 536 sections. 23 chapters.

India's Income Tax Act 2025 replaced a 65-year-old law on April 1, 2026.

Here are 10 changes that directly affect you starting Tax Year 2026-27.

Save this. 🧵 The old system had 2 confusing terms: Previous Year and Assessment Year.

Income earned in FY 2025-26 was "assessed" in AY 2026-27.

The new Act kills both terms.

Now there is just one: Tax Year.

Tax Year 2026-27 = April 1, 2026 to March 31, 2027.

One term. Zero confusion.

[Section 3, Income Tax Act 2025]

SEBI studied 96 lakh F&O traders in India.

91% lost money in FY25. Total losses: ₹1.05 lakh crore. In ONE year.

The question nobody asks: who are the 9% that actually made money?

The answer will change how you think about trading.🧵 First, understand who is losing.

➡️75% of loss-making F&O traders had an annual income below ₹5 lakh.
➡️43% of all traders were below 30 years of age.
➡️ 72% were from smaller cities beyond the top 30.

These are not reckless gamblers. These are ordinary people who were told this was an opportunity.

Most people think "Tax-Free" in India only means Agriculture. Wrong.

The Income Tax Act, 2025 has 8 specific types of income that are 100% legal and 100% tax-free.

(Yes, even in the New Tax Regime). 🧵 1. Agricultural Income:

Let's get the obvious one out of the way.

Income from land used for agricultural purposes in India is exempt. This includes rent from such land or income from selling produce.

Earning ₹12.75 Lakh/year in FY 25-26? You pay ZERO income tax.

But most people don't understand how this actually works.

It's NOT an exemption. It's NOT magic.

Here's the full breakdown 👇 First, let's understand what changed.

Until FY 2024-25, income up to ₹7 lakh was tax-free under the new regime.

Budget 2025 raised this limit to ₹12 lakh.

That's a ₹5 lakh jump, the biggest middle-class tax relief in years

You checked your GST portal, claimed your Input Tax Credit (ITC), and used it to pay your taxes. You think you're clear.

But there is a "hidden" timer on that credit.

If you don't pay your supplier within 180 days, the government wants that ITC back. 🧵 It’s called Rule 37. The logic is simple: No Payment = No Credit.

If 180 days pass from the invoice date and your supplier is still unpaid, you are legally required to reverse that ITC in your GSTR-3B.

Every ITR filed in India eventually lands at one place - CPC Bengaluru, the Centralised Processing Centre of the Income Tax Department.

Here’s what really happens between “Return Submitted” and “Refund Credited.” 👇 CPC Bengaluru is India’s largest tax data centre, managed by the Income Tax Department under the Central Board of Direct Taxes (CBDT).

It processes over 8-9 crore returns annually, fully through digital systems.

In 10 years, taxation in India won’t be about filing returns. It’ll be about confirming returns.

Here’s how AI could reshape compliance 👇 💡 Seamless tax filing

Every financial transaction will talk to each other - salary, GST, UPI, bank interest, stock trades.

The Income Tax portal will auto-generate your ITR in real time.

You won’t “file” returns anymore. You’ll just log in and “confirm”.

Few Important points to keep in mind while reporting clause 44 of Form 3CD i.e. 'Break-up of total expenditure of entities registered or not registered under GST'

(As per the guidance note on Tax Audit under Section 44AB by @theicai )

[A 🧵]

@PratibhaGoyal @TaxationUpdates a. The total expenditure will include purchases as well

b. Depreciation & deduction for bad debts are not required to be reported

c. Expenditure incurred in respect of activities mentioned under Schedule III to the CGST Act are not required to be reported. Eg: Employees Salary

Indian Income Tax has a peculiar category of taxpayers i.e. HUF.

So, Let's understand what is HUF ? [ A 🧵]

@CA_HarshilSHETH @TaxationUpdates @PratibhaGoyal @caanuragwriter #HUF #incometax #taxpayer The Income Tax Act provides several opportunities for taxpayers to reduce their tax liabilities in a legitimate manner.

One such aspect is the creation of the HUF or the Hindu Undivided Family

Do you know, filing of Income Tax return for senior citizen is not compulsory if TDS is deducted u/s 194P.

Let's understand more about section 194P [ A 🧵]

#incometax #IncomeTaxReturns #ITRfiling #seniorcitizens @PratibhaGoyal @TaxationUpdates @AbhasHalakhandi #incometaxportal Finance Act, 2021 inserted a new Section 194P to provide relief to a senior citizen who is 75 years or more from the burden of filing of return of income.

It provides that if TDS has been deducted u/s 194P, then such senior citizen shall be exempted from filing Income Tax Return

In the light of several changes in Reverse Charge Mechanism (RCM) like RCM on Residential Flat or RCM on renting of vehicle by corporate.

Lets understand the basic about RCM [ A 🧵]

#RCM #gst #incometax #gstcouncil @PratibhaGoyal @TaxationUpdates @caanuragwriter #company Reverse charge is a mechanism where the recipient (buyer) of the goods or services is liable to pay GST to the government instead of the supplier.

Second One - Series A Funding [ A 🧵]

#Startup #seedcapital #funding #company @PratibhaGoyal @TaxationUpdates #Incometax #zomato #paytm #icai #ca #cs #incometax #taxology #byjus

https://twitter.com/taxologyin/status/1555930835097772032

Series A funding is a level of investment in a start-up that follows seed capital funding.

Essentially, the Series A round is the second stage of startup financing and the first stage of venture capital financing.