9911796707
TMI Blog2021 (8) TMI 1024X X X X Extracts X X X X X X X X Extracts X X X X ..... (3) read with computation sheet annexed thereto and further corroborated by the application filed by the assessee under section 154 before the Assessing Officer and the appeal filed before the ld. CIT(Appeals). We, therefore, find merit in the contention of the ld. Counsel for the assessee that there was no error in the order of the Assessing Officer dated 28.12.2018 passed under section 143(3) in allowing to carry forward the entire long-term capital loss claimed by the assessee instead of ₹ 1,19,29,790/- only allowed in the assessment order, as alleged by the ld. Principal CIT in his impugned order. The order passed by the Assessing Officer under section 143(3) thus was not erroneous as well as prejudicial to the interest of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n-STT paid) of ₹ 3,22,30,814/- was disallowed by the Assessing Officer due to such loss had been arisen from listed securities. However, s per ITBA CFL schedule the whole long-term capital loss i.e. ₹ 4,41,60,604/- as claimed by the assessee was allowed to be carried forward for the future years instead of only ₹ 1,19,29,790/- (₹ 4,41,60,604/- minus ₹ 3,22,30,814/-). Hence excess carried forward of long term capital loss of ₹ 3,22,30,814/- has resulted in potential tax effect of ₹ 70,90,779/-. 3. The ld. Principal CIT accordingly issued a notice under section 263 requiring the assessee to show-cause as to why the order passed by the Assessing Officer under section 143(3) should not be treated ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -. Reference is invited to SI. No. 18 of the ITNS annexed to the assessment order [Annexure2], wherein the AO has specified and allowed only the carry forward of short term capital loss of ₹ 2,82,23,130/-. In fact the AO denied the carry forward of the entire long term capital loss and failed to grant the carry forward of the assessed LTCL of ₹ 1,19,29,790/- (₹ 4,41,60,604 - ₹ 3,22,30,814). The company had filed an application u/s 154 dated 3101.2019 seeking carry forward of the such assessed loss of ₹ 1,19,29,790/-, copy of which is enclosed and marked as Annexure-3. The said application is still pending and the AO is yet to allow the carry forward of the same. In view of the foregoing therefore, it shall ther ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rdingly, it is held that the assessment order is erroneous in so far as it is prejudicial to the interest of revenue . 6. For the reasons given above and by relying on the various judicial pronouncements referred to in his impugned order, the ld. Principal CIT set aside the order dated 28.12.2018 passed by the Assessing Officer under section 143(3) by treating the same as erroneous as well as prejudicial to the interest of the revenue by an order dated 27.03.2021 passed under section 263 with a direction to the Assessing Officer to frame the assessment afresh after considering the observations recorded by him. Aggrieved by the order of the ld. Principal CIT passed under section 263, the assessee has preferred this appeal before the Tri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee thus was not allowed to be carried forward by the Assessing Officer vide his order dated 28.12.2018 passed under section 143(3) and there was no error in the said order as alleged by the ld. Principal CIT in his impugned order calling for any revision. He contended that this factual aspect was clearly brought to the notice of the ld. Principal CIT on behalf of the assessee-company during the proceedings under section 263, but without verifying or ascertaining the actual position, the ld. Principal CIT simply proceeded to set aside the order of the Assessing Officer passed under section 143(3) by treating the same as erroneous as well as prejudicial to the interest of the revenue. He contended that since there was no error in the orde ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the copy of application filed by the assessee under section 154 on 31.01.2019 placed at page no. 33 34 of the paper book to show that this mistake committed by the Assessing officer was pointed out by the assessee-company seeking rectification of the same. He has also invited our attention to the copy of appeal filed before the ld. CIT(A) in Form No. 35 placed at page no. 23 to 25 of the paper book to show that the disallowance made by the Assessing Officer on account of long-term capital loss to the extent of ₹ 3,22,30,814/- was challenged by the assessee in the appeal filed before the ld. CIT(Appeals). This documentary evidence placed on record clearly establish that even though the claim of the assessee for long-term capital l ..... X X X X Extracts X X X X X X X X Extracts X X X X
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