AO did not allow set off of unabsorbed non-speculation business loss incurred by assessee against current year’s speculation profit. CIT(A) up held that order of AO. On appeal Tribunal held thatthere is no bar in adjustment of unabsorbed business losses from speculation profit of current year, provided speculation losses for earlier years has been first adjusted from speculation profit . followed CIT v. Ramshree Steels (P.) Ltd. (2018) 400 ITR 61 (All.) (HC)(AY.2011-12)
Edel Commodities Ltd. v. DCIT ( 2018) 170 ITD 402/166 DTR 289/194 TTJ 86 (Mum) (Trib.)
S. 72 : Carry forward and set off of business losses -Speculation losses-There is no bar in adjustment of unabsorbed business losses from speculation profit of current year, provided speculation losses earlier years has been first adjusted from speculation profit. [ S.71 , 73 ]