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14A r.w. Rule 8D. Against the findings of Commissioner of Income Tax (Appeals), the assessee is in appeal before the Tribunal.

4. Shri Ketan Ved appearing on behalf of the assessee submitted that the ground Nos. 1 to 3 of the appeal by the assessee are against the disallowance of Rs.38,73,473/- rejecting assessee's claim of set off of loss on derivatives. The ld. AR pointed that the assessee has suffered losses in trading of derivatives which was set off against the normal business income of assessee during the assessment year under appeal. The assessee had also earned profits on sale of shares declared and mutual fund as capital gain and profit on intraday sale of shares declared as speculative transaction. The ld. AR asserted that the Commissioner of Income Tax (Appeals) while examining this issue has erred in holding that the loss on trading in derivatives is a speculative transaction and hence can be set off against income from speculative business only. These findings given by the Commissioner of Income Tax (Appeals) are contrary to the facts.