set off & carry forward of SEZ Losses

No.

 No

Any loss generated from a business whose income is exempt is considered as a dead loss. It means it will not be allowed against any other head of income.

Dear Dipal,

As Shailendra rightly mentioned that Losses generated from a business whose income is EXEMPT is considered as a DEAD LOSS.

It is because of this very reason the words used in Sec 10 A,10AA, 10 B, etc is DEDUCTION & NOT EXEMPTION

Now, this means that the losses of these undertakings can be setoff / carried forward & se off..

As far as setting off with THE PROFITS OF NON SEZ units is concerened, IT IS 100% ALLOWED..Sec 70 and Sec 72 does not makes distinction between the losses incurred in the NATURE OF BUSINESS.