TMI Blog2001 (4) TMI 78X X X X Extracts X X X X X X X X Extracts X X X X ..... hether, on the facts and in the circumstances of the case, the learned Tribunal is justified in law in allowing the carry forward of the losses of earlier years amounting to Rs. 11,34,420 claimed by the assessee company ?" The assessee is C. Still Export GmbH and the assessment year is 1981-82. The assessment was completed under section 143(3) read with section 144B of the Income-tax Act, 1961, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it amounts to carrying on business during the earlier years. None appeared for the assessee though the matter was listed five/six times. Heard learned counsel for the Revenue. Learned counsel for the Revenue submits that the assessee is a NRI. The assessment was completed under section 143(3) of the Act and a total income was assessed of Rs. 10,44,680. Against that income, the Assessing Officer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1973-74 1,51,518." The facts are not in dispute that after enhancement notice under section 251 of the Act, the Commissioner of Income-tax (Appeals) heard the assessee and has taken the view that when the assessee has not carried on the same business in the previous year relevant to the assessment year in hand the losses suffered from that business in the earlier years cannot be al ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the earlier years. In fact it is brought to our notice that some arbitration proceedings, regarding the work, the assessee has executed, were pending, the office has been maintained to look after those proceedings. Now we have to see when the assessee has not carried on not only the same business but also no business in the previous year whether the loss of earlier years can be set off against ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d on by him in the previous year relevant for that assessment year." When the assessee has not carried on any business in the previous year relevant to the assessment year in hand, the loss suffered in business in the earlier years cannot be set off against the income in the assessment year in hand. Therefore, the Tribunal has committed the error in directing the Assessing Officer to allow the s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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