Long Term Capital Gain

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Rishikesh Sadashiv Mithbavkar (Querist)
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29 December 2009 Whether Long Term Capital loss on Sale of Shares can be adjusted against Long Term Capital Gain on sale of Property

CA SURENDRA KUMAR RAKHECHA

CA SURENDRA KUMAR RAKHECHA (Expert)
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29 December 2009 Dear Shri,

What you want to adjust when both items are long term capital gains ?

Arjuna Raina

Arjuna Raina (Expert)
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29 December 2009 yes as both are long term cap gains so they can be set off and carry forward.

CA Sidhi Gaur

CA Sidhi Gaur (Expert)
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29 December 2009 long term capital gain on sale of shares through recognised stock exchange is exempt u/s 10(38) of IT ACT,1961.so no question of set off arises.

Murtaza I Bhagat

Murtaza I Bhagat (Expert)
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29 December 2009 agree with every view of experts.

CA Ravi Sisodia

CA Ravi Sisodia (Expert)
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29 December 2009 yes, can be set-off

CA Sidhi Gaur

CA Sidhi Gaur (Expert)
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30 December 2009 sir both are long term gains.how can we set off a gain with another? i think this query is wrong.

CMA. Dinesh S Adhikari, ACMA

CMA. Dinesh S Adhikari, ACMA (Expert)
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30 December 2009 Agree!!!!
There is no question of Set-off untill there is not Long Term Capital Loss.

And also LTCG on shares is exempt u/s 10(38), subject to some conditions:
(a) if Shares transferred through Recognized stock exchange & STT paid on transferred shares.
(c) If shares hold for more then 12 Months.

I think Question should be revised.

Regards!!!
Dinesh S. Adhikari

NEHA SARAF (Mcom, CA , CS)

NEHA SARAF (Mcom, CA , CS) (Expert)
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31 December 2009 Totally agreed with MR Dinesh .......... As ltcg on Shares are exempt hw can one setoff against it

CMA. Dinesh S Adhikari, ACMA

CMA. Dinesh S Adhikari, ACMA (Expert)
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31 December 2009 Ok....

I think this is good point.

According to me, Long Term Capital Loss on shares could not set-off with Long Term Capital Gain, because sec 10(38) says that LTCG on shares is exempt, and,
according to Income Tax Rules,1961, If any income/gain is exempt then also any loss/expense from that asset/property cannot claim for tax reduction purpose. (Agricultural Income is good exemple)

Therefore, in my opnion LTCL on Shares cannot set-off with LTCG of other asset.

But, i want that other people also express their opinions on this issue.

Regards!!!
Dinesh S. Adhikari

Rishikesh Sadashiv Mithbavkar

Rishikesh Sadashiv Mithbavkar (Querist)
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04 January 2010 thanks for reply.

Rishikesh Sadashiv Mithbavkar

Rishikesh Sadashiv Mithbavkar (Querist)
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10 January 2010

Rishikesh Sadashiv Mithbavkar

Rishikesh Sadashiv Mithbavkar (Querist)
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10 January 2010 thanks for reply

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