Mr. Harish is Lawyer by profession and his income from profession for the financial year 2023-24 is ₹8,00,000. From the following information given by him :- S. No. Particulars Amount (₹) (i) Loss from house property (co

Computation of Gross Total Income of Harish for A.Y. 2024-25 Particulars Amount (₹) Amount (₹) Income from House Property: Loss from house property (Computed) (2,50,000) Less: Loss from house property (can be set-off to the extent of ₹2,00,000, as per section 71 (3A), remaining loss would be carry-forward for next 8 assessment years. 2,00,000 Balance Carry-forward of House property loss 50,000 Nil Income from Business and Profession: Income from Profession 8,00,000 Less: Loss from house property (can be set-off to the extent of ₹2,00,000, as per section 71(3A) (2,00,000) 6,00,000 Loss from Speculation business of Share trading: (1,10,000) Loss of ₹1,10,000 from speculation business only set-off against profit from another speculation business only. Here no other speculation profit, hence carry forward for next 4 assessment year. 1,10,000 Nil Income from Capital Gains: Short term capital loss from equity shares under section 111A (6,25,000) Less: Short term capital loss set off against long-term capital gain u/s 112A as per section 74 1,50,000 Balance loss under the head of capital gain cannot be set-off against other head of income u/s 74. So, it would be carry- forward for next 8 assessment years. 4,75,000 Nil Long term capital gain on sale of equity shares computed as per section 112A: 1,50,000 Less: Short term capital loss set off against long-term capital gain as per section 74 (1,50,000) Nil Income from Other Sources: Interest from Canara bank received by Vernika on deposit made out of income earned from her dance performances [clubbed in the hands of Harish as per section 64(1A)] 15,000 Less: Exemption in respect of income of minor child u/s 10(32) (1,500) 13,500 Gross Total Income 6,13,500 Loss to be Carried Forward Particulars Amount (₹) Loss from house property can be set-off to the extent of ₹2,00,000, as per section 71 (3A), hence remaining loss (₹2,50,000 - ₹2,00,000 = ₹50,000) would be carry-forward for next 8 assessment years 50,000 Loss from speculation business only set-off against profit from another speculation business only. Here no other speculation profit, hence carry forward for next 4 assessment year. 1,10,000 Short term Capital Loss which is not wholly set-off against other short-term or long-term capital gain, cannot be set-off against other head of income u/s 74. So, it would be carry-forward for next 8 assessment years. 4,75,000