2016 (5) TMI 109 - SCH - Income Tax

Set off of Unabsorbed depreciation - Held that - Unabsorbed depreciation as on April 1, 1997, can be set off against the income from any head for the immediate assessment year following April 1, 1997 (assessment year 1998-99)and thereafter if there still is any unabsorbed depreciation the same can be set off only against the business income for a period of eight (08) assessment years.

Summary

The Supreme Court of India dismissed the special leave petition, allowing unabsorbed depreciation as of April 1, 1997, to be set off against income for the assessment year 1998-99. Any remaining unabsorbed depreciation can be set off against business income for a period of eight assessment years.