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Business loss: File returns or not.

r kapoor (na) (24 Points)

30 June 2011

Hi,

I had some business loss in last financial year while doing f&o trading. The loss is quite less (say 5k) and i don't want to carry forward it as I don't have future plans to start f&o trading again.

i don't have any other source of income also. So whether i need to file income tax returns or not ?

For last 2 yrs, i filled itr-4 for minor business profit and loss. I don't want to take too much pain in filling lengthy itr-4. Is it ok ?

If there is really any risk, then i will fill itr 4. but whether this risk is required or not?

Thanks,

Riya Kapoor.

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11 Replies

Vikash Kumar (Manager Accounts (CA. Final)) (694 Points)
Replied 30 June 2011

Not mandatory to file ITR, because u have no income during last PY & also you don't want to C/F business loss.

rahul (Chartered Accountant) (5570 Points)
Replied 30 June 2011

If the return is regularly .. file it.

valji (Accounts manager-MBA) (2150 Points)
Replied 30 June 2011

yes you can claim if return is regurly

CA. Rashi Goyal (Chartered Accountant) (512 Points)
Replied 30 June 2011

Hi Riya,

If you have other incomes also than you should disclose income/loss from all the sources, leaving one source of income and moving ahead with the rest can create a problem. As you are hiding the facts fron IT deptt., which you should not do.

Its is good to regularly file the return, but it is not mandatory if the income from all the sources is less than the exemption limit.

U S Sharma (glidor@gmail.com) (21056 Points)
Replied 30 June 2011

though it is not mandatory, but step ahead and file the return, it will save you from forthcoming knee jerks as the DTC is in pipeline and taxpayers would feel little pain on its implementation, so dont break the chain, and keep the records updated.

CA ADITYA SHARMA (CA IN PRACTICE ) (16719 Points)
Replied 30 June 2011

Originally posted by : U S Sharma
	though it is not mandatory, but step ahead and file the return, it will save you from forthcoming knee jerks as the DTC is in pipeline and taxpayers would feel little pain on its implementation, so dont break the chain, and keep the records updated.

agreed

Devendra (Chartered Accountant) (4775 Points)
Replied 30 June 2011

It is advisable to file a Income Tax Return.

Regards,

Devendra k

CA Adesh Gupta (Finance Manager) (160 Points)
Replied 01 July 2011

if u don't want to carry forward the loss den der is no need to file thr ROI

Mukesh Kumar Singh (CA-FINAL) (4094 Points)
Replied 01 July 2011

Agreed with the answers provided by the other members of CCI family.

1 Like

Anjaly.P.A ( Article( CA Final)) (221 Points)
Replied 01 July 2011

If you dont have an idea to carry forward the loss, then no need of filling return. But its better to file return if you have any other source of income