TMI Blog2011 (8) TMI 1172X X X X Extracts X X X X X X X X Extracts X X X X ..... e of ₹ 30,00,223/- which was processed under section 143(1) on 22.2.2006. Subsequently, the assessment was taken up for scrutiny and the assessee filed revised return on 28.3.2006 in which long term capital loss of ₹ 10,80,121/- was shown and was claimed to be carried forward. The assessee had incurred loss of ₹ 7,20,000/- in respect of sale of shares of M/s. Phlox Pharma Ltd. and the indexed loss was ₹ 10,80,121/-. In the original return loss had not been claimed. The AO observed that to revise the return of loss, the original return of loss should have been filed under section 139(3) within the time allowed under section 139(1). In this case the assessee had not declared any loss in the original return and therefor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Tribunal. 3. Before us, the ld. AR for the assessee reiterated the submissions made before the lower authorities that the loss was required to be carried forward. He placed reliance on the decision of the Tribunal in the case of Ramesh R. Shah vs. ACIT in ITA No.4312/Mum/2009 order dated 29.7.2011 for Assessment Year 2005-06 in which similar claim of loss arising on sale of shares of M/s. Phlox Pharma Ltd. had been allowed to be carried forward. The ld. DR on the other hand placed reliance on the orders of authorities below. 4. We have perused the records and considered the rival contentions carefully. The dispute is regarding carry forward of loss of ₹ 10,80,121/- arising on sale of shares of M/s. Phlox Pharma Ltd. The assesse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ction 139(3) because original return was filed within the time allowed under section 139(1). Therefore the loss determined has to be taken as loss computed in accordance with the provisions of section 139(3) and such loss has to be allowed to be carried forward under the provisions of section 80. The problem may be looked at from a different angle. Suppose the assessee had not revised the return at all and no loss was shown in the original return due to some mistake but the AO in the assessment under section 143(3) is required to compute income or loss correctly. Once the loss has been determined by the AO under section 143(3), it cannot be said that the loss cannot be allowed to be carried forward when return has been filed within time all ..... X X X X Extracts X X X X X X X X Extracts X X X X
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