case, the Ld.
CIT(A) erred in law in allowing the unabsorbed depreciation
of Rs. 40,35,877/- disallowed by AO on account of carry ... depreciation of a year becomes part of depreciation of
subsequent year by legal fiction and when it becomes part of the
current year depreciation
first issue arises for consideration is regarding set off of unabsorbed depreciation, unabsorbed loss and unabsorbed investment allowance relating to Assessment Year ... assessee is entitled to carry forward the unabsorbed depreciation. The learned representative for the assessee placed her reliance on the decision of the Mumbai Bench
block period. It further be held that in considering unabsorbed depreciation for the purpose of computation of the income covered in the block period ... unabsorbed depreciation of one year was to be considered as part of next year's depreciation and for this reason also, unabsorbed depreciation
unabsorbed investment allowance can be carried forward for purposes of set off in the subsequent year. We have already held that the unabsorbed depreciation ... unabsorbed investment allowance and therefore we uphold the claim of the assessee and direct the Assessing Officer to quantify the unabsorbed depreciation and unabsorbed investment
said return, no doubt, unabsorbed investment allowance was shown at Rs. 24,74,385 and unabsorbed depreciation allowance was shown ... unabsorbed depreciation as well as unabsorbed investment allowance and ultimately allowed carry forward of unabsorbed depreciation and investment allowance relating to assessment years
above assessment u/s 148 , on the ground that the unabsorbed depreciation
of Rs.97,53,913/- claimed by the erstwhile firm M/s Srinivasa ... assets transferred from M/s Srinivasa Exports
International but claimed as unabsorbed depreciation . However as per
proviso to sec.32(1)(ii), the depreciation between
account of unabsorbed depreciation and
balance of Rs. 69,18,94,858/- is a business loss for the year. The assessee
submitted that as return ... addition/ disallowance of Rs. 69,18,94,858/-
and assessed the unabsorbed depreciation of Rs. 4,37,20,911/- to be carried
forward. Thus against
make any
observation in respect of carry forward of unabsorbed
loss including unabsorbed depreciation i.e., Assessing
Officer did not allow the assessee to carry ... unabsorbed
depreciation of earlier previous years forms part of the
current year's depreciation and thereafter allowance for
depreciation is given from the current year
said return, no doubt, unabsorbed investment allowance was shown at Rs. 24,74,385 and unabsorbed depreciation allowance was shown ... unabsorbed depreciation as well as unabsorbed investment allowance and ultimately allowed carry forward of unabsorbed depreciation and investment allowance relating to asst
business
losses, set off of depreciation on unabsorbed depreciation, set off of
lease rents and various other issues which are considered in the
appeal ... authorities did not wish to allow the set off of the unabsorbed
depreciation of about Rs.78 crores pertaining to Asst Year
