https://www.taxtmi.com/caselaws?id=11954 The dominant issue was whether the Explanation to s.73 could be invoked to treat share-trading loss as non-speculative and permit set-off against other business income. The HC held that the Explanation applies only if, on computing "gross total income" under s.80B(5) (treating losses as negative income), the company's gross total income consists mainly of income under the specified non-business heads. Here, once the share-dealing loss was accounted for, the assessee's main income was from share trading, and the statutory test for the Explanation was not satisfied; hence s.73(1) barred set-off of speculation loss except against speculation profits/carry-forward. The Tribunal's direction to ignore the Explanation was set aside, and the reference was answered for the Revenue. en-us Wed, 22 Jan 2003 00:00:00 +0530 Fri, 26 Dec 2025 18:04:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=11954 The dominant issue was whether the Explanation to s.73 could be invoked to treat share-trading loss as non-speculative and permit set-off against other business income. The HC held that the Explanation applies only if, on computing "gross total income" under s.80B(5) (treating losses as negative income), the company's gross total income consists mainly of income under the specified non-business heads. Here, once the share-dealing loss was accounted for, the assessee's main income was from share trading, and the statutory test for the Explanation was not satisfied; hence s.73(1) barred set-off of speculation loss except against speculation profits/carry-forward. The Tribunal's direction to ignore the Explanation was set aside, and the reference was answered for the Revenue. Case-Laws Income Tax Wed, 22 Jan 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=11954