9911796707
TMI Blog2006 (7) TMI 254X X X X Extracts X X X X X X X X Extracts X X X X ..... t dt. 20th March, 1997 read with his order dt. 1st May, 2000 passed under s. 154 of the Act for the asst. yr. 1996-97. In the assessment finalized earlier, the AO had allowed the assessee set off of the earlier unabsorbed depreciation and losses amounting to Rs. 35,79,113, but as there was no sufficient income in the asst. yr. 1996-97, a portion of it was also allowed to be carried forward. It would be relevant to note here that brought forward unabsorbed depreciation of Rs. 35,79,113 corresponded to various assessment years starting from the asst. yr. 1985-86 and inclusive of and upto the assessment year immediately preceding i.e. 1995-96. The AO in the impugned' order has tinkered with the brought forward unabsorbed depreciation on the pl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s for various assessment years and by way of this order carry forward of the losses, depreciation and investment allowance was determined for each of the assessment years involved in the said order. The counsel further explained that the present order passed by the AO although purported to have been made for the asst. yr. 1996-97 was in fact aimed at rectifying the determination of losses for the assessment year covered by the order of the AO dt. 17th April, 1995. That insofar as the order dt. 17th April, 1995 is concerned, the same has become final inasmuch as it was beyond the power of the AO to rectify the same under s. 154 of the Act since the time-limit of four years as prescribed under s. 154(7) had elapsed. The AO, by doing the prese ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er in relation to the asst. yr. 1996-97, since the said losses were partly adjusted in the said year also. 6. After considering the rival pleas, perusing the orders of the lower authorities and fact situation emerging out of the material on record, in our view, there is no substance in the appeal of the Revenue. Undisputedly, the rectification made by the AO by way of the impugned order passed under s. 154 of the Act has been made with reference to the asst. yr. 1996-97, yet in sum and substance, what is proposed to be rectified is unabsorbed depreciation determined and brought forward from the earlier assessment years. Such determination and the carry forward for the earlier years stood determined and became final by way of the AO's orde ..... X X X X Extracts X X X X X X X X Extracts X X X X
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