109. (1) Subject to the provisions of this Chapter, for any tax year, if income computed under any head of income (other than “Capital gains”) is a loss, such loss shall be set off against income of the assessee under any other head, including “Capital gains”, if any, assessable for that tax year, subject to the following conditions:–– (a) loss under the head “Profits and gains of business or profession” shall not be set off against income assessable under the head “Salaries”; and (b) loss under the head “Income from house property” shall be set off to the extent of ? 200000 against income under any other head; (2) For any tax year, the loss under the head “Capital gains” shall not be set off against income under any other head.