The assessee went up in appeal to the Tribunal.
If that had been done, the speculation profits of the year under companysid eration would have been absorbed companypletely by the losses brought forward from the preceding years.
The appeal by the assessee before the Assistant Appellate Commissioner was dismissed.
He held that as the assessee was a registered firm, the losses companyld be carried forward and set off only by the partners and number by the firm.
The Tribunal was of the view that when an Act was passed repealing an earlier enactment, it companyld number be said to supersede any right already accrued under the repealed enactment unless there was something in the repealing Act to indicate that clearly.
From the Judgment and Order dated 26.2.1971 of the Allahabad High Court in I.T. Reference No.
The Tribunal, therefore, held that the assessee was entitled to have the losses brought forward from the preceding two years and set off against the profits earned for the year 1962 63 and accordingly allowed the appeal.
The Income tax Officer, however, rejected the assessees claim.
In the assessment proceedings for that year the assessee claimed that a loss of Rs.60,054 suffered in respect of the assessment year 1960 61 and the loss of Rs.6,839 suffered in respect 0 the assessment year 1961 62 should be set off against this speculation profit of Rs.59,102 for this year.
For the assessment year 1962 63 which is the year with which this appeal is companycerned, the assessee made a profit of Rs.58,102 from speculation business.
The revenue sought for reference to the High Court of Allahabad on the following question Whether, the assessee is, in law, entitled to set off of the speculation losses suffered in the assessment years 1960 61 and 1961 62 against the speculation profits of the previous year?
CIVIL APPELLATE JURISDICTION Civil Appeal No.
The High Court was of the view that that was a right which had accrued to it before the 1961 Act was brought into force.
For the assess ment year 1961 62 also, the assessee had suffered a loss amounting to Rs.6,839 in speculation business and this was also to be carried forward for adjustment against speculation profits of future years.
Dhananjoy Chandrachud Amicus Curiae for the Respondents.
M. Lodha, N.M. Tandon and Miss A. Subhashini for the Appellant.
The Judgment of the Court was delivered by SABYASACHI MUKHARJI, J. This is an appeal from the judgment and order of the High Court of Allahabad dated 26th February, 1971.
The assessee is a partnership firm which at the relevant time enjoyed the status of a registered firm for the assessment years 1960 61, 1961 62 and 1962 63.
92 of 1966.
1598 NT of 1974.
In the assessment proceedings for the assessment year 1960 61, the assessee suffered a loss of Rs.60,054 in the speculation business which was to be carried forward for adjustment against speculation profits of future years.
