Tribunal held that the provision of S.  43(5)(a) of the Act stated that forward contract was not a speculative transaction and the loss could not be regarded as speculation. The Act clearly excluded hedging foreign currency transactions from the definition of speculative transaction. Hence, the disallowance of Rs. 1.45 lakhs on the ground of speculative transaction required to be deleted.

 (Relied on  CIT v. Soorajmull Nagarmull ( 1981) 129 ITR 169 ( Cal ) (HC)  ( AY.2014-15)