2009 (2) TMI 59 - HC - Income Tax

Whether the loss determined by the Assessing Officer, being different from the loss as claimed by the assessee in the return, can be carried forward in view of the provisions of Section 80 r.w.s. 139(3) - Whether the tribunal has erred in law in holding that the AO had exceeded its jurisdiction in not allowing the carrying forward of the loss after the tribunal had issued directions in the earlier round - Both questions of law are answered in favour of the assessee and against the Revenue

Summary

The High Court of Delhi dismissed the Revenue's appeal under Section 260A of the Income Tax Act, 1961 regarding the carrying forward of losses for assessment year 1995-96. The court ruled in favor of the assessee, stating that the loss determined by the Assessing Officer can be carried forward despite being different from the loss claimed by the assessee. The appeal was dismissed with no order as to costs.