https://www.taxtmi.com/caselaws?id=754747 The ITAT Hyderabad held that section 79 of the Income Tax Act, which restricts set-off of carried forward losses due to changes in shareholding pattern, does not apply to unabsorbed depreciation. Following the SC precedent in Subhulaxmi Mills Ltd., the tribunal clarified that section 79 applies only to business losses and not to unabsorbed depreciation or development rebate. The matter was remanded to the Assessing Officer to verify whether the carried forward losses from AY 2012-13 included unabsorbed depreciation, which if present, would be eligible for set-off against future profits regardless of shareholding changes. en-us Tue, 13 Feb 2024 00:00:00 +0530 Sat, 29 Jun 2024 08:38:49 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=754747 The ITAT Hyderabad held that section 79 of the Income Tax Act, which restricts set-off of carried forward losses due to changes in shareholding pattern, does not apply to unabsorbed depreciation. Following the SC precedent in Subhulaxmi Mills Ltd., the tribunal clarified that section 79 applies only to business losses and not to unabsorbed depreciation or development rebate. The matter was remanded to the Assessing Officer to verify whether the carried forward losses from AY 2012-13 included unabsorbed depreciation, which if present, would be eligible for set-off against future profits regardless of shareholding changes. Case-Laws Income Tax Tue, 13 Feb 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=754747