<h1>CBDT Clarifies Carry Forward of Losses for PSUs in Strategic Disinvestment under Finance Act 2021, Amends Section 72A.</h1> The Central Board of Direct Taxes (CBDT) has clarified the carry forward of losses due to changes in shareholding from strategic disinvestment, as per the Finance Act, 2021. Amendments to Section 72A of the Income-tax Act allow accumulated losses and unabsorbed depreciation of a public sector company (PSU) undergoing strategic disinvestment to be transferred to the amalgamated company. Section 79 will not apply to such PSUs, allowing them to carry forward and set off losses incurred before and during the disinvestment year. This relaxation ends when the ultimate holding company loses majority voting power. Legislative amendments will follow.