Tribunal held that  the view of the Assessing Officer that the assessee had not claimed adjustment of brought forward loss in the statement recorded under section 132(4) was not sustainable. The Assessing Officer can neither expect the assessee to suo motu seek such set off against the brought forward losses nor expect the authorised officer recording the statement to pose a question regarding any brought forward losses, during the process of recording of the statement on oath during the search and seizure operation. Hence, the rationale given by the Assessing Officer while disallowing the set off was not statutorily tenable. The statute permits carry forward and set off of losses and this cannot be denied in the absence of any specific provisions or conditions laid down in the statute to disallow such benefits. The short-term capital loss which had been incurred in the assessment year 2007-08 and the loss had been allowed by the Department to be carried forward till the assessment year 2010-11. Hence, set off of the loss against the short-term capital gain earned by the assessee during the assessment year 2011-12 could not be disallowed.( AY.2011-12)