# Period of Carry Forward for Various Losses
When a loss cannot be fully set off in the current year, the Income-tax Act allows the assessee to carry it forward to subsequent years for set-off. However, each category of loss has its own rules about:
- What income it can be set off against in future years, and
- The maximum number of years for which it can be carried forward.
## Master Table — Carry Forward Rules
| Nature of Loss | Set off against (in subsequent years) | Max Period |
|---|---|---|
| Unabsorbed Depreciation | Any head of income except Salaries | Indefinite |
| Specified Business Loss (Sec 35AD) | Profit of ANY specified business (whether or not deduction u/s 35AD was claimed) | Indefinite |
| House Property Loss | Income under head House Property only | 8 Years |
| Normal Business Loss | Any income under PGBP (including specified / speculative business) | 8 Years |
| Long-Term Capital Loss (LTCL) | LTCG only | 8 Years |
| Short-Term Capital Loss (STCL) | STCG or LTCG | 8 Years |
| Speculative Business Loss | Speculative business income only | 4 Years |
| Loss from Owning & Maintaining Race Horses | Income from Owning & Maintaining Race Horses only | 4 Years |
## Key Notes
1. No set-off against undisclosed income — Neither current year losses nor unabsorbed depreciation can be set off against undisclosed income detected in search/survey.
2. Casual incomes (lotteries, crossword puzzles, card games, betting, horse race winnings) — Taxable at a flat rate of 30%. No set-off of any loss is allowed against such income.
3. Return filing condition for carry forward — To carry forward losses, the Return of Income must generally be filed on or before the due date u/s 139(1). A return filed claiming loss within the due date is called a Loss Return u/s 139(3).
## Exception — Losses that can be c/f even with a Belated Return
The due-date condition does NOT apply to:
- House Property Loss
- Unabsorbed Depreciation
These can be carried forward even if the return is filed after the due date u/s 139(1).