Query on set off and carry forward

Save Share

This query is : Resolved

Quick Summary

This discussion clarifies whether losses from a house property can be set off against current year Long Term Capital Gains (LTCG). The consensus is that while house property losses can generally be set off against other income heads in the same year, there's a specific restriction when it comes to capital gains. Brought forward house property losses cannot be offset against LTCG, and current year house property losses also cannot be set off against LTCG.

Nithija

Nithija (Querist)

17 June 2020 Dear Experts,
Can brought forward House property loss be set off against the Current year Long term Capital Gain ?

Thanking You in Advance!!! :)

c.bakshi

c.bakshi (Expert)

18 June 2020 no, capital gain loss cannot be set off against any head. LTCL against LTCG only
STCL against STCG OR LTCG

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)

18 June 2020 Brought forward house property loss cannot be set off against current year LTCG.
Inference - section 71B(i).

Nithija

Nithija (Querist)

19 June 2020 What about current year loss of income from home property can it be set off against the LTCG of current year?

c.bakshi

c.bakshi (Expert)

19 June 2020 Sir and i already reply for the same that you can;t set off LONG TERM CAPITAL GAIN AGAINST LOSS FROM HOUSE PROPERTY

Nithija

Nithija (Querist)

19 June 2020 Mam,
I have read this, "The Loss from House Property is allowed to be set-off against any other Income arising during the same year. Therefore, if there is a loss under head House Property, and there is Income under any of the other 5 heads of Income i.e. Salary/ House Property/ Business or Profession/ Capital Gains/ Other Sources, this loss from House Property can be adjusted against such income. The net income so computed after set-off of Loss under head House Property would be taxable as per the Income Tax Slabs"

c.bakshi

c.bakshi (Expert)

19 June 2020 there is restriction in the case of capital gain. yes, it is allowed in case of any heads but not in case of Capital Gain. Sir mentioned a section, you can search and read the complete information

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now