New Delhi, March 13 -- Do you regularly invest in stocks and have booked capital gains by selling some shares recently? In case you are not aware, these gains can be set off against the losses you may have incurred via another stock. This process of adjusting the loss against the gain is known as 'tax loss harvesting'.

Let us understand with the help of an example. Suppose an investor named Ravi earned Rs.2 lakh capital gains in a year by selling shares of ABC which spiked in the past few months. Now, the capital gain of Rs.2 lakh (minus Rs.1.25 lakh exemption) stands to get taxed. However, Ravi just realised that he had another investment in which he reported a loss of Rs.75,000. In this situation, he can sell the share to report this l...