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2017 (3) TMI 1575 - AT - Income TaxTPA - computation of PLI - excluding losses in Solar Trial in computing PLI of manufacturing segment and not identifying separate segment in respect of Solar Test - Held that:- There is no need to interfere with the order of the DRP with regard to computation of PLI. It had rightly held that ST activity was an extraordinary item and was not part of the regular business of the assessee and that there was impairment of assets. Therefore, upholding the order of the DRP, we dismiss both the grounds. Claim for set off of brought forward unabsorbed depreciation - Held that:- Where there is current depreciation for such succeeding year the unabsorbed depreciation is added to the current depreciation for such succeeding year and is deemed as part thereof. If, however, there is no current depreciation for such succeeding year, the unabsorbed depreciation becomes the depreciation allowance for such succeeding year. We are of the considered opinion that any unabsorbed depreciation available to an assessee on the 1st day of April, 2002 (the assessment year 2002-03), will be dealt with in accordance with the provisions of section 32(2) as amended by the Finance Act, 2001. And once Circular No. 14 of 2001 clarified that the restriction of eight years for carry forward and set off of unabsorbed depreciation had been dispensed with, the unabsorbed depreciation from the assessment year 1997-98 up to the assessment year 2001-02 got carried forward to the assessment year 2002-03 and became part thereof, it came to be governed by the provisions of section 32(2) as amended by the Finance Act, 2001, and were available for carry forward and set off against the profits and gains of subsequent years, without any limit whatsoever. See General Motors India Private Ltd. case [2012 (8) TMI 714 - GUJARAT HIGH COURT ] - Decided in favour of assessee.
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