Comment on Taxation Simplified

NEO commented on 16 Sep 2014, 01:05 AM

I disagree with you on setting off losses from business income against gain arising from shares sold on NASDAQ.

Generally these shares are allocated to an employee under ESOP/ESO(Employee Stock Ownership Plan/ Employee Stock Option Plan) .
Any gain arising from the sale of such shares form the part of employees income under the head salary and any business loss cannot be offset against salary income.
So the gain of 3L will be added to salary and taxed according to normal cannot be offset against carried forward loss of 2.5L .

However interest earned on FD, RD etc which is normally taxable, can be used to offset loss in business income.


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