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TMI Blog2012 (8) TMI 478X X X X Extracts X X X X X X X X Extracts X X X X ..... It is settled position of law that the assessee is entitled for such set off of current year’s business loss against current year’s income from house property as held in the case of CIT V/s. Mughneeram Bangaru and Co.(1980 (8) TMI 12 - CALCUTTA HIGH COURT ). Since, CIT(A) is not specific to the issues raised before him. Therefore, matter should be referred back to the file of the CIT(A) with a direction to adjudicate the grounds and the issues raised in the grounds of appeal and the specific arguments advanced before him, qua the grounds raised. - ITA No.1503/Hyd/2010 - - - Dated:- 28-6-2012 - SHRI D.KARUNAKARA RAO, AND SHRI SAKTIJIT DEY, JJ. Appellant by : Shri P. Muralikrishna Respondent by : Smt. Nivedita Biswas (CIT-DR) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... normal business, but is a case where the entire business income is deducted under section 80P Act. Given these facts, I agree with the action of the Assessing Officer that the appellant cannot set off the loss under business against property income. Accordingly, the action of the Assessing officer is held to be correct. 4. In this regard, learned counsel mentioned that S.71(1) authorises set off of losses under any head with the exception of capital gains against income under any other head when there is no taxable capital gain to the assessee. Referring to the conclusion of the learned CIT(A) in para 4.2 of the impugned order extracted above, the learned counsel mentioned that the Revenue authorities have only applied the ratio of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... judication of these grounds, learned counsel for the assessee mentioned that though there is no direct adjudication on these grounds, however, there is some reference to the deduction under S.80P of the Act, and referred in that behalf to para 4.2 of the impugned order reproduced hereinabove. 6. Learned Departmental Representative for the Revenue, per contra, relied on the orders of the lower authorities and mentioned that the order of the CIT(A) should be upheld in its entirety. Regarding nonadjudication of grounds No.4 and 5 of the appeal before him by the CIT(A), the learned Departmental Representative mentioned that the assessee has not been raised grounds to that extent before the Tribunal in this appeal, and therefore, the order of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Revenue authorities have not explained by passing a speaking order as to under which sub-section, the claim of the assessee, i.e. set off of business loss of current year against the business loss, was rejected. 8. Further, on a perusal of the judgment of the Hon ble Allahabad High Court in the case of Ramjilal Rais (supra), we find that the said case decided in the context of exempt income and not income eligible for deduction under Chapter VIA. As the concept of exemption is distinct from the concept of income being eligible for deduction under Chapter VIA of the Act, as noted above, the said decision is not applicable to the facts of the present case, as we are concerned here with income which is eligible for deduction under S.80P of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and Co.(139 ITR 414). It is not clear as to why such income from house property had to be claimed by the assessee for set off only against the brought forward business loss, as such claim appears to be against the provisions of S.72(1)(i) of the Act, which only says that carried forward business loss shall be set off against the profits and gains, if any, of any business or profession carried on . There is no discussion about these issues in the orders of the Revenue authorities. 11. In the light of the foregoing discussion, we are of the considered opinion that the order passed by the CIT(A) is not specific to the issues raised before him. Therefore, we are of the opinion that the matter should be referred back to the file of the CIT(A ..... X X X X Extracts X X X X X X X X Extracts X X X X
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