https://www.taxtmi.com/caselaws?id=5899 Current year depreciation is deducted first in computing business profits and total income; the deeming fiction for unabsorbed depreciation is limited to carrying that allowance forward and does not override the normal computation rule. Unabsorbed carried forward business loss may be set off only after current depreciation has been allowed, because the carry forward provisions for business loss do not rank ahead of current year depreciation. The provisions under the 1922 Act and the corresponding 1961 Act are to be read consistently with ordinary commercial accountancy. The result is against the assessee and in favour of the Revenue. en-us Wed, 14 Aug 1985 00:00:00 +0530 Sat, 09 May 2026 12:59:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=5899 Current year depreciation is deducted first in computing business profits and total income; the deeming fiction for unabsorbed depreciation is limited to carrying that allowance forward and does not override the normal computation rule. Unabsorbed carried forward business loss may be set off only after current depreciation has been allowed, because the carry forward provisions for business loss do not rank ahead of current year depreciation. The provisions under the 1922 Act and the corresponding 1961 Act are to be read consistently with ordinary commercial accountancy. The result is against the assessee and in favour of the Revenue. Case-Laws Income Tax Wed, 14 Aug 1985 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=5899