To mitigate the effect of the annual accounting period concept, the tax law permits the carryforward to other years of the excess capital losses of a particular year.

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This statement is true as per the tax law, excess capital losses of a particular year can be carried forward to other years to mitigate the effect of the annual accounting period concept. This helps to offset future gains and reduce the tax burden.

To Mitigate the Effect of the Annual Accounting Period Concept