27 August 2009
Yes the same is allowed as the section speaks only about LTCG STT paid being exempt and if there is loss there is nothing to state that the same will not be allowed to be carry forward or set off. If u need further details leme know il send you the latest circular on this.
27 August 2009
If income from a source is altogether exempt from tax{here exempt u/s 10(38)}, loss from that source cannot be set off against income from a different source or income under a different head or income under the same head.
Citation:- CIT Vs. S.S.Thiagarajan (1981) 129 ITR 115 (Mad).
In view of the above, my answer to your question is NO.
CAclubindia
