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2016 (9) TMI 1588 - HC - Income TaxEntitled for deduction u/s 80-IA - Tribunal allowed deduction - Whether for the purpose of computing deduction under Section 80-IA(5) of the Act the lossess of the year prior to the initial year which had already been absorbed cannot be brought back notionally and adjusted against the income of the initial and subsequent assessment years? - HELD THAT - In judgment rendered in the said Velayudhaswamy Spinning Mills P.Ltd. case 2010 (3) TMI 860 - MADRAS HIGH COURT this Court has subscribed to the view of the Rajasthan High Court rendered in the case of CIT Vs. Mewar Oil and General Mills Ltd. 2003 (10) TMI 12 - RAJASTHAN HIGH COURT and came to the conclusion that it is not at all required that the losses which have already been set-off against the income of the previous year should be revoked again for computation of current income under Section 80-IA for the purpose of computing the admissible deductions thereunder. Hence this Court came to the conclusion that the order passed by the Tribunal deserves to be confirmed by answering the question framed before it in favour of the assessee and against the Revenue. In the instant case the Tribunal has followed the ratio laid down by this Court in the said Velayudhaswamy Spinning Mills P.Ltd. case which judgment of this Court has since attained finality now by the dismissal of the SLP before the Supreme Court 2016 (11) TMI 373 - SC ORDER For the purpose of consistency and also the judicial discipline it requires us to follow the earlier judgment of this Court rendered in the said Velayudhaswamy Spinning Mills P.Ltd. case particularly when no serious legal infirmity has been shown for the reason that weighed with this Court in the said Velayudhaswamy Spinning Mills P.Ltd. case for reaching the conclusions to which it did. We are of the opinion that the judgment rendered by this Court in the said Velayudhaswamy Spinning Mills P.Ltd case answers the questions correctly in favour of the assessee
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