Judgement

SABYASACHI MUKHARJI, J.:- This is an appeal from the judgment and order of the High Court of Allahabad dated 25th 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. 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. For the assessment 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. For the assessment year 1962-63 which is the year with which this appeal is concerned, the assessee made a profit of Rs. 58,102/- from speculation business. 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 of the assessment year 1961-62 should be set off against this speculation profit of Rs. 58,102/- for this