Tax Profit and Loss Statement for Last Financial Year on Zerodha

Zerodha is a renowned stock broker in India and is quite popular with majority of retail share traders and investors. As the time for filing income tax returns is around the corner, it is essential to obtain a copy of the transactions done by you in the relevant financial year. Any Zerodha user can download and use the Tax Profit and Loss Statement for any financial year, as per the process given below in following paragraphs.

The tax profit and loss statement (P&L) is an important document for individual Zerodha users who need to file their income tax returns. The P&L statement shows your trading profits and losses for the last financial year, and it is used to calculate your capital gains tax liability.

Download P&L statement

To download your tax P&L statement, you can follow these steps:

1. Go to the Zerodha Console.
2. Login with your Kite credentials/ Zerodha user Id and password and follow relevant 2FA process.
3. Click on the Reports tab.
4. Click on Tax P&L.
5. Select the financial year for which you want to download the Tax P&L statement.
6. Click on the Download Tax P&L report for all segments button.

The P&L statement will be downloaded as an Excel file. This file will contain a summary of your trading activity for the selected financial year, including your profits, losses, and capital gains along with expenses.

How to Use the Tax Profit and Loss Statement

Once you have downloaded the tax P&L statement, you can use it to calculate your capital gains tax liability or business income liability. The following steps will show you how to do this:

1. Open the Excel file containing the P&L statement.
2. In the Capital Gains section, you will see a table listing your capital gains and losses.
3. For each capital gain, you will need to determine the amount of tax that is payable, as the tax rate for capital gains depends on the type of asset that you have sold and the holding period.
4. Once you have calculated the amount of tax payable, you can add it to your income tax return.

Here is a gif from official website of Zerodha explaining the process:

Conclusion

The tax profit and loss statement is an important document for individual Zerodha users who need to file their income tax returns. By following the steps outlined in this blog post, you can easily download and use the P&L statement to calculate your capital gains tax liability and save income tax, wherever applicable.