Allowability of c/f / set-off loss u/s 10 (38) / 10 (34)

[MAHESH MATHUR]

I had read an intresting article from one of TMI members on Allowability of loss u/s 10 (38) quite some time back almost one & half year back. In the article, it was mentioned that the loss u/s 10 (38) could be c/f/ set-off.

In the same article a judgement of the Supreme Court (not sure on the authority), involving loss on sale of UTI units was mentioned (u/s 10 (34)). 

The authority had ruled in the favour of the assessee. One of the grounds was that the intention of the government was not to burden the assessee by introducing such a provision.

Unfortunately, i cannot locate that article nor the case in my records or the website.

I would be very thankful if anyone can provide me with that case Citation or the article.

[Rama Krishana]

Hello, do you need this one: For brain storming: - Provisions Section 10(38) - vis a vis LTC loss with STT. Such loss can be set off against taxable LTC Gains and carried forward for such set off in future.

AI Summary

Loss under section 10(38) may be set off against taxable long-term capital gains and carried forward.
Losses arising under the tax-exempt capital gains head, notably long-term capital losses in transactions subject to securities transaction tax, can be set off against taxable long-term capital gains and, if not fully absorbed, carried forward for such set off in future years.