Carry Forward of Losses under New Tax Regime

Income Tax ITR Filing
1

I have been under the old tax regime so far and don’t have any capital losses carried forward.

I read that if one switches to new tax regime, losses incurred under the old regime cannot be carried forward. But what about any losses incurred prospectively under the new regime ? Can these be carried forward ? I expect to incur some capital losses on unlisted shares in FY 2024-2025 and am not sure if these would be fully offset by other capital gains. Will I be able to carry forward these losses if I opt for the new tax regime ?

2

Hey @RanS,

You can set off and carry forward your losses regardless of the regime that you choose.
If you opt for the new tax regime, only certain losses can’t be set off, which are:

  1. Any loss under the head house property with any other head of income.
  2. Any loss, carry forward or depreciation from any earlier assessment year, if such loss or depreciation is due to deductions/exemptions not available under the new regime.

Apart from these, there are no restrictions on set-off and carry forward of losses.

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