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Long Term Loss On Shares

vipul Aggarwal (CA) (60 Points)

19 November 2010

Can the long term loss on shres be set off or carry foreward ?

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12 Replies

CA Navin Jain (MANAGER (FINANCE & ACCOUNTS)) (11768 Points)
Replied 19 November 2010

YOU CAN NOT set off or carry foreward long term capital loss on share, since long term capital gain of share is exempt

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Rahul Agarwal (Future CA) (217 Points)
Replied 19 November 2010

Agree with CA Navin Jain

Ritin Kharbanda (CA) (441 Points)
Replied 19 November 2010

Long Term Capital LOSS on shares can be carried forward for 8 assessment years provided the shares are NOT LISTED and SECURITY TRANSACTION TAX is not paid on Transfer of shares.

Regards

Ritin Kharbanda

swapnil (CA Final) (598 Points)
Replied 20 November 2010

hai vipul, first LTC Loss has set off against LTC Gain only, and c/f is possible 4 further 8 A.Y. year, and set off under same head only,

keep sharing,

Azim Khan ACA,CS,CMA*,LLB* (Proprietor) (1312 Points)
Replied 20 November 2010

AGREE WITH RITIN...

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(Guest)

Dear Friends.

Long Capital Loss Other than shares which are Listed in stock exchange and suffered STT can be carried forward or set off.

But Income from Long Term shares sold in stock exchange is exempted from Tax. So there is no concenpt of loss here because income itself is exempted. (Expenses incurred or lossess suffered to earn exempted income cannot deducted from taxable income)

jithesh chandran.v.p (article assistant) (72 Points)
Replied 20 November 2010

long term capital gain from shares is totally exempted s10(38)

Expenses incurred or lossess suffered to earn exempted income cannot deducted from taxable income

RAKESH (Almost CA) (2199 Points)
Replied 20 November 2010

you cannot carry forward the loss to the subsequent years because being an exempt income u r not supposed to do so .

CA Mohit Agrawal (Chartered Accountant) (371 Points)
Replied 20 November 2010

I agree with RITIN,he is correct.

CA Himanshu Bansal (Risk Manager) (2345 Points)
Replied 20 November 2010

Originally posted by : Ritin Kharbanda
	Long Term Capital LOSS on shares can be carried forward for 8 assessment years provided the shares are NOT LISTED and SECURITY TRANSACTION TAX is not paid on Transfer of shares. Regards Ritin Kharbanda

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punit (CA final) (290 Points)
Replied 22 November 2010

long term loss on shares can only setoff agaist long term capital gain on shares of same year....

Bharat Khurana (Student) (153 Points)
Replied 13 December 2010

if the transaction of sale is chargeable to security transaction tax then Long term capital loss on sale of debentures can be set off. It is a dead loss because where any income from any source is altogether exempt then there is no treatment of loss arising from that source.