BFLA & CFL can one selectively change the amounts

Rocks Parss (234 Points)

29 August 2021  

In CFL and BFLA when one clicks on the Compute setoff radio button the brought forward loss of earlier years is automatically adjusted and set off against the current years losses and only balance loss is carried forward. In case one does not want to setoff the total loss brought forward but only wants to setoff part of the loss so the unadjusted loss is carried forward can one do so? eg if one has brought forward loss of Rs 2 lakhs long term and in the current year one has long term profit u/s 112A long term of Rs 1.45 lakhs can one adjust only Rs 0.45 lakh of brought forward loss so Rs 1.55 lakhs of the brought forward loss is unabsorbed loss of earlier years carried forward to future years? The reason being then 112A capital gains after adjusting brought forward loss gets reduced to Rs 1 lakh which is tax free and brought forward loss not used can be carried forward for future use. If one clicks on compute setoff button the entire Rs 1.45 lakhs current year profit is adjusted against the brought forward loss and only Rs 0.55 lakhs of brought forward loss is carried forward. Kindly revert.