Appeal dismissed, allowing extended unabsorbed depreciation calculation. No conflicting decision presented.

The court dismissed the appeal, allowing unabsorbed depreciation to be calculated beyond eight subsequent assessment years based on the Gujarat High Court's rulings and CBDT circular, removing the eight-year restriction. The court found no merit in the appellant's argument as no conflicting decision was presented, leading to the dismissal of the Income Tax Appeal without costs.

---

---

Issues:
1. Whether unabsorbed depreciation allowances can be worked out even after eight subsequent assessment years.
2. Whether the decision of a non-jurisdictional High Court can be relied upon to allow unabsorbed depreciation allowances.

Analysis:
1. The appellant contended that unabsorbed Depreciation Allowance could not be calculated after eight subsequent assessment years due to the amendment of Section 32(2) of the Finance Act, 2001. The respondent, however, relied on the judgment of the jurisdictional High Court in a similar case to argue that the issue was settled. The court noted that the Tribunal's decision was in line with the Gujarat High Court's ruling in General Motors India (P.) Ltd. v. Dy. CIT, which allowed unabsorbed depreciation to be set off if still unabsorbed on a specific date. The CBDT circular No. 14 of 2001 clarified the treatment of unabsorbed depreciation, removing the eight-year restriction. As no conflicting decision was presented, the court found no merit in the appellant's argument and dismissed the appeal.

2. The court referenced another judgment by the Gujarat High Court in Principal Commissioner of Income-tax v. Accura Polytech (P.) Ltd., which supported the allowance of unabsorbed depreciation beyond eight years. Based on the consistent legal position established by the Gujarat High Court and the CBDT circular, the court concluded that no substantial question of law arose in the present case. Consequently, the Income Tax Appeal was dismissed, and no costs were awarded.

---