TMI Blog2015 (8) TMI 374X X X X Extracts X X X X X X X X Extracts X X X X ..... from A.Y.1997-98 upto the A.Y.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 Finance Act, 2001 and were available for carry forward and set off against the profits and gains of subsequent years, without any limit whatsoever. Thus, the finding of the Ld. CIT(A) is based on the decision of Hon'ble Gujarat High Court in the case of General Motors India P. Ltd (2012 (8) TMI 714 - GUJARAT HIGH COURT), and no contrary decision of any other High Court has been brought to our notice, hence such a finding of the CIT(A) is upheld. Further, as held by the High Court the unabsorbed depreciation becomes the current year depreciation, which can ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Hon'ble ITAT Special Bench, Mumbai, decision in case of DCIT vs. Times Guaranty Ltd. 2. On the facts and in the circumstances of the case and in law, the Ld. CIT(A)'s erred in deciding that the assessee is entitled to c/f Short Term Capital Loss of ₹ 14,48,840/- pertaining to AY 2005-06 whereas actually as per records there is a Short Term Capital Gain of ₹ 12,32,400/- for that year i.e. AY 2005-06 3. On the facts and in the circumstances of the case and in law, the Ld. CIT(A)'s erred in allowing the b/f business loss pertaining to AY 2004-05 to be set-off against income from house property of the assessee of AY 2007-08 which is in contravention to provision of sec. 72 of the Act . 2. As regards the i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... imum period of eight (8) assessment years starting from AY 1997-98 i.e. upto 2004-05 . 4. The Ld. CIT(A) relying upon the decision of Hon'ble Gujarat High Court in the case of General Motors, directed the AO to allow the assessee's claim of adjusting unabsorbed depreciation for the AY 1999-2000 from the house property income of this year after observing and holding as under: Regarding the second issue of disallowing the depreciation of the AY 1999-2000 for setting off house property income of this year, Income-tax Act was amended w.e.f. from A.Y. 1997-98 to 2001-02. For these years unabsorbed depreciation has to be adjusted only from the business income of the appellant and also it has to carry forward only eight years. Later ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bed depreciation of AY 1999-2000 form the house property income of this year. These grounds of appeal are allowed . 5. After considering the relevant finding given in the order, we find that the conclusion of the CIT(A) is based on the decision of Hon'ble Gujarat High Court, wherein, the Hon'ble High Court after discussing the entire provision of section 32(2) and amendment brought by Finance Act, 2001, had concluded as under: Therefore, the provisions of section 32(2) as amended by Finance Act, 2001 would allow the unabsorbed depreciation allowance available in the A.Y. 1997-98, 1999-2000, 2000-01 and 2001-02 to be carried forward to the succeeding years, and if any unabsorbed depreciation or part thereof could not be set off ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ciation had been dispensed with, the unabsorbed depreciation from A.Y.1997-98 upto the A.Y.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 Finance Act, 2001 and were available for carry forward and set off against the profits and gains of subsequent years, without any limit whatsoever. 6. Thus, the finding of the Ld. CIT(A) is based on the decision of Hon'ble Gujarat High Court in the case of General Motors India P. Ltd (supra), and no contrary decision of any other High Court has been brought to our notice, hence such a finding of the CIT(A) is upheld. Further, as held by the High Court the unabsorbed depreciation becomes the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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