Business loss treatment

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

08 September 2012 a company is continuously showing is balance sheet in loss. after 8 years what are treatment of his loss than loss will not be set off in 8 a.y. year ,please guide me.

CA AYUSH AGRAWAL

CA AYUSH AGRAWAL (Expert)
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08 September 2012 For IT Purpose, Now Losses are Not Eligible to Set Off.
Only if Unabsorbed Depreciation/Preliminary Exp,35D Expenses, UAD Family Planning Expenses is There, That Can be Set Off.

CA Ilayaraja

CA Ilayaraja (Expert)
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08 September 2012 In balance sheet Debit balance of Profit and Loss Account to be shown as negative figure under the head Surplus. Therefore, reserve & surplus balance can be negative. the carryforward limit of 8 AY is for IT purpose only and not for balance sheet.

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