n NISM Certifications
X NISM Series X
Medium

For how many assessment years can a capital loss be carried forward under Indian tax laws?

Practice question from NISM Series XB- Investment Adviser (Level 2) Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    5 years

  2. 8 years

    Correct answer

  3. C

    10 years

  4. D

    3 years

Why this is the answer

Capital losses can be offset against capital gains in subsequent years and can be carried forward for up to 8 assessment years from the year of incurring the loss.

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