Ass Year - 2010-11
1. I have some Listed NCD that were sold during the year. They were held for more than one year therefore long term. There is no indexation allowed- so the LT gain will be Taxed at 10%. Assume the gain is Rs 90,000.
2. I also redeemed some units of of my full debt MF scheme. The cost was 30,000. the indexed cost is 50,000. The redeeemed value is 45 ,000. I propose to use the indexation route and there will be a net loss of 5,000.
3. I also have some carrfy forward LT loss of Rs 8000.
My questiosn are:
1) Is it possible to set off the Long Term capital loss (after indexation) on the Redemption of Mutual funds against the capital gains on the listed NCDs? ( In this example Rs,90000 minus 5000). And remainder is rs 85,000/-
2) Then can i set off the b/f LT Cap loss agiabst this remainder (Rs85000 less 8000) = 77,000 and pay tax at 10%.
3) Had there been no LT Gain on Listed NCDs. Will i be able to carry forward the LT Capital loss of Rs 5000 (after indexation) on the debt MF to the next year?
Look forward to yopur reply
Gopal
CAclubindia
