Judgment

BHARUCHA, J.:- The assessee made long-term capital gains during the accounting year relevant to the Assessment Year 1970-71. He had brought for Ward a long term capital loss from previous assessment years to be set off there against. The assesses claimed a deduction under Section 80-T of the Income-tax Act, 1961 (hereinafter referred to as the said Act). For the purposes of determining the amount on which such deduction was available to the assesses, the Income-tax Officer took into account the figure arrived at after setting off the capital loss of previous assessment years against the capital gains for the Assessment Year 1970-71. He rejected the contention of the assesses that for the purposes of the deduction under Section 80-T that figure of capital gains should be taken as it stood before set off of the capital loss of previous assessment years. The Appellate Assistant Commissioner allowed the assessees appeal. The Revenue preferred an appeal to the Income-tax Appellate Tribunal against the order of the Appellate Assistant Commissioner. The Tribunal allowed the appeal.

2. Arising out of the judgment and order of Tribunal, the following question was referred to the High