Concept:
Concentrated sulphuric acid acts as a strong dehydrating agent.
When ethanol is heated with concentrated \( \mathrm{H_2SO_4} \), it removes a molecule of water (dehydration reaction).
Step 1: Dehydration of ethanol:
\[
\mathrm{C_2H_5OH} \xrightarrow[\text{heat}]{\text{conc. } H_2SO_4} \mathrm{C_2H_4} + \mathrm{H_2O}
\]
Step 2: Product formed:
Ethene (\( \mathrm{C_2H_4} \)) is an unsaturated hydrocarbon (alkene).
Thus, the gas formed is ethene.