TMI Blog2014 (7) TMI 511X X X X Extracts X X X X X X X X Extracts X X X X ..... section 73, which is only qua the carry forward and set off of speculation loss, i.e., loss of a speculation business, which stands, to the extent brought forward, already allowed set off by the AO – it would include speculation business as well, whether it is so by virtue of section 43(5) read with Explanation to s. 28 or Explanation 2 to section 73 - The brought forward business loss is to be a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 10, dismissing the assessee s appeal contesting its assessment u/s.143(3) of the Income Tax Act, 1961 ( the Act hereinafter) for the assessment year (A.Y.) 2006-07 vide order dated 26.12.2008. 2. The sole issue arising in the instant case; the assessee not pressing its ground no. 2 raised before us, is the maintainability in law of the non-set off of the brought forward business loss against t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ,14,890 (**) - 19,14,890 Total 40,48,367 1,13,335 39,35,032 (*) Including unabsorbed depreciation at ₹ 1,13,821/-. (**) Including unabsorbed depreciation at ₹ 56,585/-. The same was found unacceptable by the Assessing Officer (A.O.) in view of section 73 of the Act, which allows set off of the loss of any speculation bus ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ement of income from A.Ys. 2000-01 to 2006-07, at PB pgs.1-2, 5-6, 10, 14, 17-18, 21-22 and 24-25 respectively. We find the Revenue s objection to the assessee s claim as misplaced. The section governing the carry forward and set off of business loss, i.e., other than of a speculation business, is covered by section 72 and not by section 73, which is only qua the carry forward and set off of specu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the brought forward loss liable to be set off is that assessed for the relevant years, and not that as returned. Further, the figures of the brought forward business loss adopted by the assessee include (unabsorbed) depreciation as well. We, accordingly, restore the matter back to the file of the A.O. to allow the same in terms of sections 32 and section 72 of the Act and other applicable provisi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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