Long term capital gain

@ Dhiraj Sir, Suppose if no LTCG of Rs. 8,000/- was made and only LTCl of Rs. 4,000/- was incurred in this case then would be the tax treatment??

Thanks a lot all of you.

 there is no income so no tax. For loss no treatment, problem is that it remains in mind for long time.

@ Studentsca: Dear, loss or gains in this case has no impact for taxation. Net gains (as per books of accts.) of the year is declared under EI, for intimation to department (so that any unnecessary query may not arise). While nett loss is not declared (as department is least bothered in it). It cannot be adjusted for this year nor be carried forward for future adjustment also; so just written off in capital accounts!!  Hope, clarified your doubt. Good luck.

I was under the impression that since Net Loss incurred in such cases cannot be adjusted or carried forward, it cannot be set off against exempted LTCG. Now I have understood the concept. Thank you for the clarification.

As far as department is concerned, it hardly matters how you have reported, unless you have tried to manipulate tax. Many such things are not noticed, and are handled differently by different professionals till date. But now CPC works digitally, and as such results....... so many defective returns u/s. 139(9)  !!!!!!!!!!!

So, chill ...........

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