11 July 2013
An assessee has Long Term Capital Loss of Rs. 6492 on Debt-Oriented Mutual Fund (Long Term Capital Gain on Debt-Oriented Mutual Funds is taxable @ 10 % without Indexation or 20% with Indexation . whichever is better for Assessee) . However , after applying Cost Inflation Index to Purchase Price & then calculating the Long Term Capital Loss , the loss is working out to Rs. 1,15,775 . There is no Taxable Long Term Cap. Gain in same year so this loss needs to be carried forward . Should the Long Term Loss be carried forward as Rs. 6492 or Rs. 1,15,775 ?
18 September 2013
Dear Sir , I would beg to differ . In Mutual Funds , there are 2 types - (1) Equity Oriented Funds (Having allocation of more than 65 % in Equity type securities ) where the LTCG is exempt & STCG taxable @ 15% & (2) Debt-Oriented Mutual Funds (Having Allocation of more than 35% in Debt products) - Here the STCG is to be clubbed in the normal income & LTCG is to be taxed at 10% without Indexation or 20% with Indexation whichever is beneficial for assessee . You can check out this information with any Mutual Fund Co.
So , I would like to repeat my Question . Would the Long Term Capital Loss be carried forward as 6492 or 1,15,775 ?
CAclubindia
