Claiming Losses on Delisted Shares: A Guide
If your shares are delisted and idle in your demat account, you may wonder if you can claim a capital loss. The key is whether the shares are considered “transferred” under tax laws. Simply delisting does not count as a transfer, so you can't claim the loss unless the shares are extinguished or you transfer them to someone else at a nominal price. Long-term losses can be carried forward for eight years, while short-term losses need to be adjusted first against short-term gains. Understanding these rules is essential for managing your investments wisely.
