Income tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

20 March 2014 Suppose a Co'S Loss As Per ITR-6 Is Rs 16 Lac In Fy 2012-13.
And in Current Year We have Earned Profit Rs 2 Lac.

Please advise whether we have to pay Tax on Current Income or this profit will be adjusted against Previous Year Loss.

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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20 March 2014 if the return of income for F.Y 2012-13 filed under section 139(1) and in such return you claimed carry forward of losses then you are eligible to carry forward such losses and set-off with the current year losses.

So to give solution to your query required date of filing of return of income for F.Y 2012-13 and due date u/s 139(1) and nature of loss means such loss is business loss or depreciation loss or capital gain loss etc..

OM SAI SRI SAI JAI JAI SAI

Querist : Anonymous

Querist : Anonymous (Querist)

21 March 2014 Our ITR Filed on 25-09-2013 under section 139(1)

Our Depreciation loss during the year amounting to Rs 1617251/- and which is forward to next year.

And business loss is NIL.

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Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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22 March 2014 You said the return filed u/s 139(1) and you depreciation for that year is Rs.1617251/-(assumed it is as per IT Act allowed) and such year your loss is Rs.16 lacs so such loss is depreciation loss so you are eligible to set off it from business profit in your future profits with out expiry date to set off(means depreciation loss can be set off unlimited whereas business loss is allowed to set off in next 8 years from the year of loss incurred, in the case of speculative business it is only 4 years)

So in one word i can say based on information provided by you, you are eligible to set off such loss with the next years profits on business.

OM SAI SRI SAI JAI JAI SAI

Querist : Anonymous

Querist : Anonymous (Querist)

28 March 2014 please advise whether we are liable to pay Tax Under MAT ???