Capital Loss and Revenue Loss

Capital loss is the loss that occurs contingent to the sale of some fixed asset. Example is : Loss due to discount given at the time of issue of shares or debentures. Loss due to misappropriation of cash from office and forfeiture of security deposits (for the possibility of securing agencies, contracts, etc. - are also obvious examples of capital loss. 

Revenue losses can occur in the course of sale and purchase of goods. Bad debts, loss due to fall in prices of goods, etc. are examples here. 

Revenue loss is usually accounted for in the current year's P & L Nc. Capital loss is usually spread over a few years.