Investment fund loss carryforward rules updated, deeming certain fund losses to unit holders while ignoring short holding losses. The amendment directs that investment fund losses arising under 'Profit and gains of business or profession' are to be carried forward and set off by the fund under Chapter VI and ignored for unit level taxation; non business losses linked to units held under twelve months are ignored for unit level taxation. Transitional rules deem specified fund non business losses at the cut off date to be losses of unit holders who held units then, allowing those unit holders to carry forward and set off those deemed losses under Chapter VI, and preventing the fund from claiming them thereafter.