Keshavlal Premchand vs The Commissioner Of Income-Tax, Bombay on 3 September, 1956
12. The Division Bench, therefore, addressed itself to the material question as to what is the profit against which the loss of Rs. 3,40,443 could be set off. According to the Division Bench, having regard to the decision of the Bombay High Court in Keshavlal Premchand v. CIT [1957] 31 ITR 7 and the decision of this court in CIT v. Kantilal Nathuchand [1964] 53 ITR 420, if there is a loss in speculative transactions, it can be set off against other business income of the assessee. In that view of the matter, the Division Bench answered the respective questions as under (at p. 31 of 69 ITR) :