Section 71B to Section 80 of the Income Tax Act provides in Chapter XXV , the manner in which the unadjusted loss of a year can be carried forward and adjusted in subsequent years. Most important to remember is that for carry forward of losses , you will have to file return of income within due date as per section 80 of the I T Act. If you file the return late , you miss great opportunity of adjustment of loss in subsequent years' income. Here is a chart to give you a ready reckoner for laws related to carry forward of losses and adjustment with income of subsequent years.
Carry Forward & Adjustment Of Losses In Subsequent Year Simplified!
