Set-Off and Carry Forward of Losses

How to Set-off and carry forward the Income tax gain and loss. Loss from House property can set off against the other income. Short Term Loss can be set off against long term gain  and short term gain. Business loss can be set off against other business income only.

Heads

Set-off during the year

Set-off & carry forward

Same

Head

Another

Head

Against

C/f

Year

Profit

from

  1. House Property

Yes

Yes

– NA

Yes

8Yrs

Same

head

  1. Speculation Business

Yes

No

Against Speculation

Profit Only

Yes

4Yrs

Same Head

  1. Non-speculation Business

Yes

Yes

Any Business Profit

Yes

NO LIMIT

Same Head

  1. Long Term Capital Gain

Yes

No

Long Term Capital Gain Only

Yes

8Yrs

LTCG

  1. Short Term Capital Gain

Yes

No

Against Long Term & Short Term Gain

Yes

8Yrs

LTCG/STCG

  1. Owning/ Maintaining Race Horses

Yes

No

Against Income from Horse Racing Only

Yes

8Yrs

Same Income

  1. Income from other sources

Yes

Yes

– NA

No

4Yrs

NA

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