CA Varun Gupta
Quick Summary
Introduction This article provides a comprehensive professional guide on the carry forward and set-off of share trading losses for Assessment Year (AY) 2025-26. It explains the statutory provisions, ITR compliance rules, and practical examples for various forms of trading, including intraday equity
Daily Limit Reached
You have reached your daily limit of 2 Free Articles
Subscribe to CCI PRO for unlimited access
Why Upgrade to CCI PRO?
- No Ads
- WhatsApp Broadcasts
- Daily E-Newsletter
- Unlimited Articles Access
BEST VALUE
2 YEAR PLAN
3,499
(Inclusive of GST)
1 YEAR PLAN
1,999
(Inclusive of GST)
View all CCI PRO benfits
Already a PRO member? Login here for an ad-free experience.
FAQ :
For AY 2025-26, the new business codes are 21009 for Intraday Equity (Speculative), 21010 for F&O Trading (Non-Speculative), and 21011 for Delivery-Based Business Trades.
For non-audit cases, the deadline is 31 July 2025. For audit cases, the deadline is 31 October 2025. Filing after these dates forfeits the right to carry forward losses.
A tax audit under Section 44AB is required if your turnover exceeds ₹1 crore (or ₹10 crore with at least 95% digital transactions), or if you previously opted for Section 44AD and are now reporting a profit below 6%/8% or a loss.
Intraday equity losses can be carried forward for 4 years. F&O and delivery-based equity losses can be carried forward for 8 years. Capital losses can also be carried forward for 8 years, with specific set-off rules.
For code 21011 (Delivery-Based Business Trades), you can use code 21008 (Other Services n.e.c.) in ITR-4 with an explanatory note, or file using ITR-3 and revise it later once the utility patch is released.
CAclubindia
