Taxes on SME IPO Gains and Derivatives Income

I am a regular applicant in main-board and SME IPOs. I usually exit on listing day after IPO share allotment. On the losses I experience from IPO punting, can I bunch them up with other short-term capital losses in equity cash and futures & options? Can they be set off against short-term gains? Shankar Ghose Listing-day sale of IPO allotment results in short-term capital gains / losses. Income-Tax Act allows for setting off short-term capital loss against short-term capital gains as well as against long-term capital gains. However, futures and options are normally taxed as business income. Further, setting off short-term capital loss against gains from trading in futures and options is not permitted. The writer is Partner, Deloitte India Published on March 14, 2026