Can a carry forward lossess set off against current year business income (Income from Sale of Building). The firm was closed 2 years back and no activity for the past two years. I want to know whether the carry forward losses can be set of against current year business income when the firm is closed.
Income from sale of building whihc is a depreciable asset is calculated as Short Term Capital Gain/Loss as the case maybe and is not consdered as business income/loss. Since the business loss is c/f from previous year the c/f busines loss cant be set-off against short term capital gians.
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