9911796707
TMI Blog2001 (2) TMI 113X X X X Extracts X X X X X X X X Extracts X X X X ..... me-tax Act, 196 1, were not applicable to the present case ?" The dispute relates to the assessment year 1975-76 for which the relevant previous year ended on December 31, 1974. The factual position, in a nutshell, is as follows : The assessee had furnished a return on June 30, 1975, declaring a loss of Rs. 69,898 and unabsorbed loss of Rs. 1,33,077 brought forward from earlier years. The aggregate amount of loss, i.e., the loss for the assessment year 1975-76, together with the unabsorbed loss brought forward from earlier years, was shown by the assessee at Rs. 2,02,915. The Income-tax Officer (in short the "ITO"), was of the view that on determining the loss at Rs. 28,059 and unabsorbed depreciation for the year at Rs. 2,717 (making ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s and as the only variation related exclusively to the current year's loss, there was no necessity for taking a recourse to section 144B. Accordingly, it was held that the provisions of section 144B were not applicable. It was also held that the assessment had to be completed within the period of limitation laid down under section 153(1) of the Act, without the benefit of extended time limit provided in clause (iv) of Explanation (1) to section 153 of the Act. The assessment was, therefore, held to be barred by limitation. The Revenue carried the matter in appeal before the Tribunal. Its stand was that the total amount of loss, as returned by the assessee, i.e., Rs. 2,02,915, was to be taken note of and not the loss relatable to the year. T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t order or within such further period not exceeding fifteen days as the Income-tax Officer may allow on an application made to him in this behalf. (3) If no objections are received within the period or the extended period aforesaid, or the assessee intimates to the Income-tax Officer the acceptance of the variation, the Income-tax Officer shall complete the assessment on the basis of the draft order. (4) If any objections are received, the Income-tax Officer shall forward the draft order together with the objections to the Inspecting Assistant Commissioner and the Inspecting Assistant Commissioner shall, after considering the draft order and the objections and after going through (wherever necessary) the records relating to the draft or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he unabsorbed loss brought forward from the earlier years in the return of income, as was required to be filed for the assessment year in question, i.e., 1975-76. Even though the assessee chose to indicate the same, it does not mean that the aggregate loss of Rs. 2,02,915, which comprised two components, i.e., the brought forward loss of Rs. 1,33,077 and the loss of the year in question, i.e., Rs. 69,898, were to be taken to be the "loss returned" by the assessee for the relevant assessment year in question. The loss returned was Rs. 69,898 and only the variation to the said loss alone was to be taken into account for the purpose of determining the question regarding applicability of section 144B of the Act. The above being the position the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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