Business income set off

329 views 1 replies
Sir,
Is it necessary to set off current year business losses before setting off brought forward business loss?
(both being non-speculative)

Eg.
Income from HP = 60,000

Income from business A= 1,00,000

Current year loss in business B= 50,000

B/f loss in business A= 70,000
B/f loss in business B= 80,000

Please tell me what will be the minimum possible GTI in such a case.

Can we first set off b/f losses of 1,50,000 with PGBP income of 1,00,000
(50,000 being c/f further)

Then set off current year business loss with HP income?

Or is it necessary that i must first set off current year loss from pgbp income only?
Replies (1)
there is a procedure....

income from business xxxx
less: current year depreciation xx
less: B/f losses. xx
less: unabsorbed depreciation xx

if business head is not enough to meet the loss... it should be balanced by the inter head like HP, CG, OS


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