Compute the total income for the A.Y. 2009-10 : Rs. Income from Business A (Non-speculation) 15,00,000 Income from Business B (Speculation) 8,00,000 Loss from Business C (Non-speculation) 18,00,000 Loss from Business D (Speculation) 2,00,000
Business B : A.Y. : 2003-04 50,000 2004-05 1,00,000
Long term Capital Gain 3,00,000 Short term Capital Gain 2,00,000 Short term Capital Loss 3,00,000 Loss from owning & maintaining race loses Rs. 70,000 Income from Salary Rs. 4,00,000 Loss from self-occupid property Rs.1,50,000
10 December 2010
Computation of total income for Assessment Year 2009-10
Salaries Income from Salary 400,000 Less: Loss from self-occupied property 150,000 Balance Income 250,000
Profits and Gains of Business or Profession Income from Business A (Non-speculation) 1,500,000 Less: Loss from Business C (Non-speculation)1,500,000 Net Income from Non-speculative business NIL
Income from Business B (Speculation) 800,000 Less: Loss from Business D (Speculation)200,000 Loss from Business C (Non-speculation) 300,000 Total Business Loss set-off 500,000 Balance Income 300,000 Less: Carried forward Business Loss set-off AY 2003-04 50,000 AY 2004-05 100,000 Total 150,000 Balance Income 150,000 Less: Unabsored Depreciation set-off AY 2004-05 150,000 Net Income from Speculative Business NIL
Capital Gains
Long term Capital Gain 300,000 Short term Capital Gain 200,000 Total Capital Gain 500,000 Less: Short term Capital Loss 300,000 Net Capital Gain 200,000
Total Income 450,000
Notes: (i) Losses Carried Forward to future years: Loss from owning & maintaining race horses 70,000 Unabsorbed Depreciation: AY 2004-05 100,000 AY 2005-06 300,000 AY 2006-07 400,000 Total 800,000 (ii) Unabsorbed depreciation should be set-off against profits and gains of business only. (iii) Losses of non-speculative business can be set off against profits of speculative business.
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