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2019 (7) TMI 1277 - HC - Income TaxDisallowance of business loss and unabsorbed depreciation of amalgamated company (Dolphin Laboratories) - Scheme of amalgamation conceived - “cut off date” OR “appointed date” OR “date of amalgamation” - HELD THAT:- Issue is no longer res integra in view of the decision of this Court in the case of IRM Limited v. Dy. CIT [2016 (7) TMI 972 - GUJARAT HIGH COURT] wherein this Court took the view that, once the scheme is sanctioned, the same would relate back to the appointed date of amalgamation. it was held that once a scheme has been sanctioned by the High Court, which would relate back to the appointed date and such order is passed before the order of assessment is passed, it cannot be stated that the assessee should be denied the benefit of such development merely on the ground that during the accounting period and when the return was filed, the High Court order sanctioning the scheme was not yet passed. The very effect of the order of High Court sanctioned the scheme relating back to the appointed date would be that for all purposes including for recognising the benefit of unabsorbed depreciation and losses of a merging Company with those of principal company would be available from such date. In view of the aforesaid, this Appeal fails and is accordingly dismissed.
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