Long term losses in Equity MF

If STT is charged by MF, it will not be adjusted with any Income and will not be carried forward to next year.If no STT is Charged, it can be carried forward to Eight assessment year and can be set off against only Long Term Capital Gains.

Yes STT is charged by MF. Does this mean that it's money gone. In such a scenario, would it not make sense to look at valuation in 12th month and book losses if it is substantially down (by paying 0.25% STT) and book short term losses as they can be carried forward.

Regards,
Sunil

Yes, if your value gone down substantially