9911796707
TMI Blog2019 (3) TMI 2043X X X X Extracts X X X X X X X X Extracts X X X X ..... and became part thereof, it came to be governed by the provisions of section 32(2) as amended by Finance Act, 2001 and were available for carry forward and set off against the profits and gains of subsequent years, without any limit whatsoever. Thus carry forward of unabsorbed depreciation concerning impugned assessment years could be set off in subsequent years without any set time limit. See Gujarat Lease Finance Ltd [ 2017 (5) TMI 1555 - ITAT AHMEDABAD] Decided in favour of the assessee. - SHRI WASEEM AHMED, ACCOUNTANT MEMBER AND SMT. MADHUMITA ROY, JUDICIAL MEMBER For the Assessee : Shri Santosh Kashani, Sr. DR. For the Revenue : Shri Ni lesh Thakkar, AR. ORDER PER MADHUMITA ROY- JM: The instant appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l is against the disallowance of claim of unabsorbed depreciation of Rs. 38,01,74,402/- pertaining to AY 2001-02 and earlier years. While disallowing the claim the AO stated as under: Scrutiny of the Assessment order revealed that the assessee had brought forward business loss of Rs. 4,58,19,842/- and unabsorbed depreciation of Rs. 38,01,74,402/- pertaining to A.Y. 2001-02. As the time limit for set off of business loss and unabsorbed depreciation was completed in A.Y. 2009-10, the assessee had not carried forward the business loss of Rs. 4,85,19,842/- but the assessee had merged depreciation loss of Rs. 38,01,74,402/- of A.Y. 2001-02 with A.Y. 2002-03 and claimed carry forward to subsequent years. As the depreciation loss as per the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vision to that effect. However, it does not contain any such provision. Hence, a purposive and harmonious interpretation has to be taken keeping in view the purpose of amendment of section 32(2). While construing taxing statutes, rule of strict interpretation has to be applied, giving fair and reasonable construction to the language of the section without leaning to the side of assessee or the revenue. But if the Legislature fails to express clearly and the assessee becomes entitled for a benefit within the ambit of section by the clear words used in section, the benefit accruing to the assessee cannot be denied. However, Circular No. 14 of 2001 had clarified that under section 32(2), in computing the profits and gains of business or profes ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l facts, the disallowance made by the AO deserves to be deleted, therefore, it is deleted. This ground of appeal is allowed. As the issue involved during the year under consideration is same, as decided earlier, the disallowance of carried forward of depreciation of Rs. 38,01,74,402/- is not found justified. The A.O. is directed to allow the carried forward of depreciation of Rs. 38,01,74,402/- pertaining to A.Y. 2001-02 to next assessment years. This ground of appeal is allowed. 3. At the time of hearing of the matter the Ld. Counsel appearing for the assessee submitted before us that the assessee s case is also covered by the judgment passed by the Coordinate Bench in assessee s own case for Assessment Year 2009-10 and 2012-13 copy ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and were available for carry forward and set off against the profits and gains of subsequent years, without any limit whatsoever. The relevant part of the decision of the Co-ordinate Bench of the ITAT decided in the case of Gujarat Lease Finance Ltd. vide ITA No. 2393/Ahd/2013 dated 03/05/2017 is reproduced as hereunder:- 6. We have heard the rival contentions. We have also perused the judicial pronouncement delivered by the Hon'ble High Court of Gujarat in the case of General Motors India (P.) Ltd vs. DCIT (2012) 25 taxmann.com which was elaborated in detail by the Ld. CIT(A) in his order as supra in this order. We have also perused the judicial pronouncement of Hon'ble Gujarat High Court in the case of CIT vs. Gujarat T ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
