Question And Answer
Subject: Can I claim set-off of long term capital loss incurred on sale of listed securities against taxable income?
Category: 
Querist: Mukesh
Answered by:
Tags:
Date: April 18, 2021
Query asked by Mukesh

I have deployed surplus funds by way of investments in listed shares & securities. During the relevant year I sold holdings in different listed companies and derived long term capital gain of Rs.77,330/- and incurred long term capital loss of Rs.6,05,425/-. The AO noted that the aggregate long term capital gain of Rs.77,330/- derived on sale of listed shares fulfilled the conditions prescribed in Section 10(38) and therefore held it to be exempt from income-tax. With regard to claim of long term capital loss of Rs.6,04,425/-; he held that since the gain derived from sale of long term listed shares is exempt then any loss incurred there from was to be ignored. He accordingly denied the claim for carry forward of long term capital loss of Rs.6,04,425/-u/s 74 of the Act. Is the AO right in his decision?

File Uploaded: Not Available


Response is awaited

Answer given by
Reply of the Expert is awaited. Please check back later

Disclaimer: This article is only for general information and is not intended to provide legal advice. Readers desiring legal advice should consult with an experienced professional to understand the current law and how it may apply to the facts of their case. Neither the author nor itatonline.org and its affiliates accepts any liabilities for any loss or damage of any kind arising out of any inaccurate or incomplete information in this article nor for any actions taken in reliance thereon. No part of this document should be distributed or copied (except for personal, non-commercial use) without express written permission of itatonline.org

Leave a Reply

Your email address will not be published.

*