§ 110
Chapter VII — Set Off, Or Carry Forward And Set Off Of Losses
Carry forward and set off of loss from house property
Income-tax Act, 2025
Business owners can carry forward losses from house property for up to 8 years. These losses can only be set off against income from house property in subsequent years. If the loss cannot be fully set off, it will be carried forward to the next year. Key points include:
- Losses can be carried forward for a maximum of 8 years.
📜 Official text of the section +
110. (1) Where for any tax year, loss computed under the head “Income from
house property” cannot be wholly set off against the income under any other
head as per section 109, so much of the loss not so set off or the whole loss, as the
case may be, shall be carried forward to the following tax year and—
( a) be set off only against the income from house property, if any, assessable
for that tax year; and
( b) if the loss cannot be wholly so set off, the amount of loss not so set off
shall be carried forward to the following tax year and so on.
(2) No loss shall be carried forward under this section for more than eight tax years
immediately succeeding the tax year for which the loss was first computed.
Carry forward and set off of loss from Capital gains.
Plain-language summary — not the official text. Refer to the bare Act and confirm with a professional for your specific case.
Related sections
§ 108SET OFF, OR CARRY FORWARD AND SET OFF OF LOSSES Set off of losses under same head of income§ 109Set off of losses under any other head of income§ 111Carry forward and set off of loss from Capital gains§ 112Carry forward and set off of business loss§ 113Section 113§ 114Set off and carry forward of losses computed in respect of specified business