Hi,
I am a salaried individual with no other income. I had a loss from trading in futures & options & intraday stock trading in FY 2021, 2022 & 2023. I never reported f&o & intraday trading on my ITR since I was always in loss & unaware about taxation. Since the losses now exceed over 35 lakhs, is it possible to update my ITR for previous years & carry forward these losses? Also, if this cannot be done then can I file a grievance with the income tax department for the previous 3 years & get a positive resolution?
I am looking to hire an experienced CA for this. Any constructive inputs are appreciated.
Since the deadlines for filing this year’s ITR have passed, you won’t be able to carry forward these losses. However, you can contact your Assessing Officer (AO) and request a condonation of delay. If the AO finds your reason valid, they may permit you to carry forward the losses.
Thank you for replying. So if I understand it correctly, I cannot do this for 2021 & 2022 but I can file a condonation of delay for 2023? I had filed ITR-1 for 2023 & it has already been processed by the income tax department so now I have to contact the Assessing Officer for the same? Can Quicko help me file this?
Also, can procedures like filing grievance help me to report previous year’s losses(2021 & 2022) and carry them forward. The amount is quite, so I am looking at all the available options.
For FY 2023-24, if the original return is filed on or before the due date, you can disclose the losses for the same financial year in the revised ITR. Quicko can assist you with filing the revised return.
However, the only option for losses from previous years is to submit a condonation of delay request to the Assessing Officer, as there is no option to raise a grievance in this specific case.
Sure, I will contact Quicko to revise my ITR for this year.
Last question, from your experience, is it worth submitting condonation of delay request for previous years for this issue? If the chances of this request being accepted is very low then there’s no point in wasting time over this issue. However, if there’s a reasonable chance of it getting accepted then I can go ahead with it…however I don’t think I can get an exception just because I was ignorant on taxation.
