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CA Intermediate · Taxation · Provisions for filing Return of Income and Self Assessment

Meera, a resident individual, has a business loss of ₹3,00,000 and a loss under the head Income from house property of ₹1,50,000 for tax year 2026-27, with no other income in that year. She furnishes her return after the due date, as a belated return. Which statement correctly states the loss she can carry forward?

Only the house property loss of ₹1,50,000 can be carried forward. A business loss is allowed to be carried forward only when the return is filed by the due date, so filing late forfeits the ₹3,00,000. House property loss carry forward does not depend on timely filing.

  1. ABoth losses, ₹4,50,000, as the return was filed at all
  2. BOnly the house property loss of ₹1,50,000Correct
  3. COnly the business loss of ₹3,00,000
  4. DNeither loss, as both lapse

Explanation

Loss under house property can be carried forward even if the return is filed late. A business loss can be carried forward only if the return is filed by the due date. So only the house property loss of ₹1,50,000 is carried forward; the business loss of ₹3,00,000 is lost.

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