https://www.taxtmi.com/circulars?id=8014 Allowability of losses from forex derivatives depends on whether they are notional mark to market adjustments or losses on actual settlement. Notional mark to market losses booked in profit and loss are contingent and should be added back for tax purposes. Losses on actual settlement must be examined to determine whether they are speculative; transactions fulfilling the conditions of an eligible exchange traded derivative are not speculative. Assessing Officers should examine accounts, seek breakups of aggregated loss heads, and adjust taxable income as appropriate. en-us Tue, 23 Mar 2010 00:00:00 +0530 Thu, 25 Mar 2010 13:29:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=8014 Allowability of losses from forex derivatives depends on whether they are notional mark to market adjustments or losses on actual settlement. Notional mark to market losses booked in profit and loss are contingent and should be added back for tax purposes. Losses on actual settlement must be examined to determine whether they are speculative; transactions fulfilling the conditions of an eligible exchange traded derivative are not speculative. Assessing Officers should examine accounts, seek breakups of aggregated loss heads, and adjust taxable income as appropriate. Circulars Income Tax Tue, 23 Mar 2010 00:00:00 +0530 https://www.taxtmi.com/circulars?id=8014