Shares 'X'.

Bought 100 shares at 100 rupees = 10000 rupees.

Brokerage say 65 rupees

Total cost = 10065 rupees.

Same day stock touches 120 rupees.

Shares sold same day = 80.

Total cost = 120 * 80 = 9600.

Brokerage say again 60 rupees this time.

Total sell price = 9540.

Bank passbook entry = 660 deducted for buying shares.

Person hold those 20 shares for more than a year to avoid long term capital gain.

And sell at any price profit or loss doesn't matter since he held it long. So no tax overhead on him.

With bank passbook entry the person bought 20 shares at say approximate price of 33.

And when someone files the return he will purely show it as buy at 33.

When the assessing officer check in detail every single note of your trade.Say you did 500 trade in a year. And when he zero it upon this one then only he will come to know that person have to pay tax on that sell of 80 shares. That too from contact note not from bank bank passbook.

So what's the procedure to follow?

I am asking this because when I was in my CA office and asking about wealth tax (when its limit was 15 lakhs). Those articles were saying why are you go so extra cautious. We have clients who have crore and more in their saving account and they don't pay wealth tax and you are cribbing about 14.5 lakhs.

You already know the correct tax treatment:

It is your decision if you want to follow the tax rules or not.

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Ok thanks for the reply sir .