Query regarding CFL and BFLA

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This query is : Resolved

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This discussion clarifies the necessity of filing the Schedule CFL (Carry Forward of Losses) with every Income Tax Return (ITR) to carry forward losses from previous years. It's confirmed that while schedules often auto-fill, you must check and confirm them. Crucially, if a loss from a previous financial year was not declared in the Schedule CFL of subsequent ITRs, it cannot be directly updated in a later year's return to adjust current gains; it must have been carried forward annually.

VISWANATH SURESH

VISWANATH SURESH (Querist)
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25 October 2023 Is it necessary to fill schedule-CFL with every ITR to carry forward losses of previous years?
(Or)
Is it necessary to fill CFL only when BFLA is in use?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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25 October 2023 Yes, but both schedules auto filed you have to check and confirm.

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VISWANATH SURESH

VISWANATH SURESH (Querist)
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26 October 2023 Let us say I had loss in F.Y 2019-20 but I did not mention it in schedule CFL of ITR for F.Y 2020-21, F.Y 2021-22 and F.Y 2022-23.
Now in the ITR for F.Y 2023-24, can I directly update the schedule CFL with loss details of F.Y 2019-20 to adjust with F.Y. 2023-24 gains.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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26 October 2023 No you can't do it now.
It should have been carried forward every year.

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VISWANATH SURESH

VISWANATH SURESH (Querist)
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26 October 2023 Ok, thanks for the information.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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26 October 2023 You are welcome..
...

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