SUHAS CHANDRA SEN, J.

( 1 ) THE Tribunal has referred the following question of law to this court, under Section 256 (1) of the Income-tax An. 1961 :"whether, on the facts and in the circumstances of the case, the Tribunal was justified in law in holding that the deduction under Section 80t of the Income-tax Act, 1961, should have been computed by reference to the amount of capital gains as reduced by loss under the head "capital gains" brought forward from earlier years and not by reference to the amount of capital gains arising during the relevant previous year without any such deduction ?"

( 2 ) THE year of assessment is 1972-73 for which the relevant accounting period was the year ending on October 17, 1971 (Dewali 2028 S. Y. ). It appears from the statement of case that the assessee is a Hindu undivided family. For this assessment year, the assessee had, amongst, other incomes, income from capital gains on sale of property at 30, Tara Chand Dutta Street, Calcutta, amounting to Rs. 1,89,000. The Income-tax Officer set off against this income from capital gains of Rs. 1,89,000 the earlier year's loss under the head "income from capital gains" brought forward amounting to Rs. 1,

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