Can i adjust short term capital losses of past years?
For last 3 financial years, I incurred short term losses. I have not shown those short term losses of past years in the IT returns i filled. This financial year, i have short term profit. can i adjust last 3 years losses with this year's short term profit?
Asked 6 months ago in Capital Gains Tax from New Delhi, Delhi
You cannot carry forward and set off the losses, unless you file returns or claim such carry forward of losses in the returns filed by you.
no you cant adjust those losses which are not carry forward in your ITR, to allow set off of loss if possible revise you ITR if filled within due date and carry forward loss and then adjust the same in with current year profit.
No, since the losses have not been shown in returns, they cannot be carried forward and set off is not possible.
Is it possible to revise my past returns and show the losses?
Asked 6 months ago
No loss returns should be filed in time.
This is a litigative issue. There have been judicial rulings in favor and in against also.
Yes Income tax return can be revise u/s 139(5) if we file the same on or before due date.
time limit for revise is 1 year from the end of relevant Assessment Year.
i.e. if ITR of AY 2016-17 filed on or before 31.07.2016 then it can be revised upto 31st march 2018.
i.e. if ITR of AY 2017-18 filed on or before 31.07.2017 then it can be revised upto 31st march 2019.
If you have not shown the losses in past years return, then you can't claim set off of losses.
However, if you have filed your returns on time, then you can revise your the returns to show losses. Revised Return of Income Tax can be filed by an assessee any time before the expiry of 1 year from the end of the Relevant Assessment Year or before the completion of assessment (whichever is earlier).
Please feel free to call/ revert in case you need more clarity.
Thanks and regards
CA CS B.Com
No, you can not revise the return as the time period has passed. Thus, You can not adjust the profit