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2016 (8) TMI 1523 - HC - Income TaxDeduction u/s 80 IA - Unabsorbed depreciation of the earlier years before the first year or claim, which has already been absorbed, should not be notionally carried forward and taken into consideration for computation of deduction u/s.80 IA - HELD THAT:- Similar to the facts and circumstances of the case, while adverting to the substantial questions of law raised and after considering the judgment of the Hon'ble Apex Court in Liberty India vs. CIT [2009 (8) TMI 63 - SUPREME COURT] and the judgment of the Rajasthan High Court in CIT vs. Mewar Oil & General Mills Ltd. [2003 (10) TMI 12 - RAJASTHAN HIGH COURT], a Hon'ble Division Bench of this Court in Velayudhaswamy Spinning Mills Pvt. Ltd.'s case [2010 (3) TMI 860 - MADRAS HIGH COURT]held that once the losses and other deductions are set off against the income of the assessee in the previous year, it should not be re-opened again, for the purpose of computation of current year income, under Sections 80-I and 80-IA of the Act. Questions of law raised are answered against the Revenue and in favour of the assessee and the instant appeal deserves to be dismissed.
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