Mr. Sumit has submitted his income-tax return containing certain losses/deductions in respect of the P.Y. 2023-24 on 22.10.2024. The due date for…

Mr. Sumit has furnished his return of income under default tax regime for A.Y.2024-25 on 22.10.2024, i.e., after the due date specified under section 139 (1) i.e., 31 st July 2024. Hence, the return is a belated return under section 139 (4) . As per section 80 read with section 139 (3) , specified losses, which have not been determined in pursuance of a return of loss filed within the time specified in section 139 (1) , cannot be carried forward to the subsequent year for set-off against income of that year. The specified losses include, inter alia , business loss but does not include loss from house property and unabsorbed depreciation. Accordingly, business loss of 10,80,000 of Mr. Sumit for A.Y. 2024-25, not determined in pursuance of a return of loss filed within the time specified in section 139 (1) , cannot be carried forward to A.Y. 2025-26. However, the loss of 2,50,000 from let out house property and unabsorbed depreciation of 2,00,000 pertaining to A.Y.2024-25, can be carried forward to A.Y.2025-26 for set-off, even though Mr. Sumit has filed the return of loss for A.Y.2024-25 belatedly.