Capital Gain On Transfer U/S 64


As per section 10(33), any income arising from the transfer of a capital asset being a unit of U/S 64 is not chargeable to tax where the transfer of such assets takes place on or after April 1, 2002. This rule is applicable whether the capital asset (U/S64) is long-term capital asset or short-term capital asset.

If income from a particular source is exempt from tax, loss from such source cannot be set off against income from another source under the same head of income.

Consequently, loss arising on transfer of units of U/S64 cannot be set off against any income in the same year in which it is incurred and the same cannot be carried forward.



Cnergyis Infotech India Pvt Ltd

205, Linkway Estate,
Near Chincholi Fire Station / Mindspace,
Above ICICI Bank, Link Road, Malad (West)
Mumbai 400 064, Maharastra India
Phone - 1800 233 6504