ADJUSTMENT OF LOSSES

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

12 January 2010 SIR,
GENERALLY IN THE SHARE MARKET THERE ARE 4 TYPES OF DEALINGS-
1. FUTURE & OPTION (PROFIT/LOSS) - TREATED AS BUSINESS PROFIT/LOSS
2. DELIVERY (PROFIT/LOSS) - TREATED AS 'BUSINESS (PROFIT/LOSS)' FOR BUSINESS PEOPLE AND TREATED AS 'SHORT TERM (PROFIT/LOSS)'FOR INVESTMENT PURPOSE.
3. SAME DAY JOBING (PROFIT/LOSS) - TREATED AS SPECULATION (PROFIT/LOSS).
4. COMMODITY (FUTURE) PROFIT/LOSS - TREATED AS SPECULATON PROFIT/LOSS.
KINDLY ADVISE ME WHETHER LOSES OF COMMODITY FUTURE/SHARE SPECULATION CAN BE ADJUSTED AGAINST FUTURE & OPTION/DELIVERY PROFITS IN THE SAME YEAR OR IN SUBSEQUENT YEARS.

Sudhindra

Sudhindra (Expert)
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13 January 2010 As per the provisions of section 77a of the it act as to the carry forward of losses, speculation losses can be adjusted only against speculation profit and cannot be adjusted with any other source of income.