Impact on Business losses on delay in filing of IT Return

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plz help,

One of my client had delayed in filing of income tax return U/s 139 in previous year, he had business losses in that financial year which was purely based on Depreciation amount ( say 90 % ) in that financial year, can he carry forward the loss amount in next financial year, if yes then for how many years.

thanks in advance

Replies (6)

no,

the losses can't be carry forwarded

Yu can carry forward.... since it is a dep loss return filing within due date not necessary... carry forward is permissible for any number of years..

The loss can be carried forwarded,,,,

Since it relates to unabsorbed depreciation...section 80 is not applicable..hence the loss can be carried forwarded.

read sec 139(3) with sec 80 ---->

if return not filed with time allowed u/s 139(1) then 

Losses under the head "PGBP " AND "CAPITAL GAIN" cannt b carried fwd and 

setoff so restriction is u/s 72 and sec 74 

and unabsorbed depreciation is governed by sec 32(2)

so as ur bus. loss consists of 90% of depre. so entire 90% dep can b carried f/w but 

10% bus. loss cant b c/f and setoff.

still doubt and any query----> u may email------> ramil9935222432 @ hotmail.com

bye 

thanks lot friends for your valuable replies.

Unabsorbed depreciation can be carried forward but business loss cannot be carried forward.

In case of belated return u/s 139(4) U can carried forward only unabsorbed depreciation.

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