| S.No. | Type of loss to be carried forward to next year(s) | Profits Against which loss can be set off in the same year | Profit Against which carried forward loss can be set off in next year(s) | For how many years loss can be carried forward | Is it necessary to submit return of loss in time |
| 1. | House property loss | Any income* | Income under the head“Income from house property” | 8 Years | No |
| 2. | Speculations loss | Speculation Profits | Speculation profits | 4 Years | Yes |
| 3. | Non- Speculations business loss | ||||
| (i) | Unabsorbed depreciation, capital expenditure on scientific research and family planning | Any income* | Any income, Not being salary income* | No time limit | No |
| (ii) | Loss from a specified business under section 35AD | Income from a specified business under section 35AD | Income from a specified business under section 35AD | No time limit | Yes |
| (iii) | Other remaining business loss | Any income, Not being salary income* | Any business profit (whether from speculation or otherwise) | 8 Years | Yes |
| 4. | Capital loss | ||||
| (i) | Short-term capital loss | Short or long term capital gain | Any income under the head of “Capital gains” | 8 Years | Yes |
| (ii) | Long-term capital loss | Long term capital gain | Long term capital gains | 8 Years | Yes |
| 5. | Loss from the activity of owing and maintaining race horses | Income from the activity of owing and maintaining race horses | Income from the activity of owing and maintaining race horses | 4 Years | Yes |
*Loss cannot be set off against winnings from lotteries, crossword puzzles, races including horse races, card games or any other games or from gambling or betting of any form.
Loss from a source can be set off only if its profit is taxable. If profits from a source are exempt then its loss cannot be set off.
