https://www.taxtmi.com/caselaws?id=177196 Forex derivative contracts entered into by an exporter to hedge foreign exchange fluctuation risk were treated as bona fide business hedges, not independent speculative ventures. Because the contracts were integrally connected with export receivables and the regular business operations, the resulting loss was held to be a business loss allowable under the Income-tax Act. Settlement otherwise than by actual delivery did not, on these facts, convert the transactions into speculation under section 43(5). The loss was therefore eligible for set-off against business income. en-us Fri, 17 Apr 2015 00:00:00 +0530 Tue, 05 Jan 2016 11:14:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=177196 Forex derivative contracts entered into by an exporter to hedge foreign exchange fluctuation risk were treated as bona fide business hedges, not independent speculative ventures. Because the contracts were integrally connected with export receivables and the regular business operations, the resulting loss was held to be a business loss allowable under the Income-tax Act. Settlement otherwise than by actual delivery did not, on these facts, convert the transactions into speculation under section 43(5). The loss was therefore eligible for set-off against business income. Case-Laws Income Tax Fri, 17 Apr 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=177196